Sebi bars 11 entities from securities market

Tags: News
Sebi today barred 11 entities from the securities market for fraudulent trading in the shares of Polytex India, KGN Enterprises and Gemstone Investments.

The Securities and Exchange Board of India found that 8 individuals had provided funds to certain entities which then fraudulently dealt in the shares of these three companies.

Based on its preliminary probe, Sebi had restrained all the 11 entities from the securities market through an interim order on May 10, 2013.

It had warned four individuals of "Pabari-Parikh Group" against trading through front entities in defiance of restraining orders against them.

In its latest order today, Sebi said the allegations and charges in the interim order remain undisputed and unchallenged by the entities and they have not been able to make any plausible defence.

"...The noticees (8 individuals and 3 entities) have not been able to make out a case for revocation or modification of the interim order," Sebi noted.

The barred individuals are: Jigar Praful Ghoghari, Kiran Bhiku Bhanaes, Jinal Apurval Rawal, Janak Chimanlal Dave, Dilipkumar Pukhraj Jain, Bhupesh Harischandra Rathod, Kishan Balaram Shigvan and Kiran Madhusudan Sheth collectively referred as Jigar Group.

The three firms are: Shree Shagun Financial Services, Oliwonders Financial Services and Neevan Capital Markets.

Sebi had examined the scrips of the three firms in view surveillance alerts on variation in their prices.

The regulator had observed that eight individuals had received funds from the barred Pabari-Parikh Group entities.

It was found that these individuals created artificial volumes in the scrips of the three firms, substantially traded amongst themselves and placed orders at a price higher than the last traded price and thereby contributed to the rise in price in Polytex India and Gemstone Investments.

Post new comment

E-mail ID will not be published
CAPTCHA
This question is for testing whether you are a human visitor and to prevent automated spam submissions.

EDITORIAL OF THE DAY

  • India’s festivals teach us to share our wealth and joy

    India is an aporia in its own true sense.

FC NEWSLETTER

Stay informed on our latest news!

INTERVIEWS

GV Nageswara Rao

MD & CEO, IDBI Federal Life

Timothy Moe

Goldman Sachs

Chander Mohan Sethi

CMD, Reckitt Benckiser India

COLUMNIST

Tushar Gandhi

Sustainable model for rural sanitation

Prime minister Narendra Modi has promised to build a toilet ...

Zehra Naqvi

How smells evoke strong memories

Remember that time when a passing fragrance transported you to ...

Dharmendra Khandal

Indian zoos need a fresh approach

Recently, when a man jumped in a tiger trench of ...

INTERVIEWS

William D. Green

Chairman & CEO, Accenture