The regulator imposed a fine of Rs 15 lakh on RealStep Agencies, Rs 10 lakh each on Utkarsh Jain, Vanya Jain (promoter of NECC), Sairabanu Mohammad Rafiq Fanaswala and Maltiben Ashokbhai Darjee.
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Capital Market Regulator: SEBI on Tuesday imposed a total penalty of Rs 62 lakh on six entities for indulging in fraudulent trading practices in the shares of North Eastern Caring Corporation Limited (NECC). The regulator imposed a fine of Rs 15 lakh on RealStep Agencies, Rs 10 lakh each on Utkarsh Jain, Vanya Jain (promoter of NECC), Sairabanu Mohammad Rafiq Fanaswala and Maltiben Ashokbhai Darji and Rs 7 lakh on Charamsukh IT Marketing. The order comes after SEBI probed the shares of NECC for the period December 2016 to April 2017.
It was alleged that Utkarsh, Vanya, RealStep, Phanaswala, Darjee and Charamsukh IT Marketing had violated the provisions of PFUTP (Prohibition of Fraudulent and Unfair Trade Practices) norms. The regulator found in its investigation that Utkarsh and Vanya sold shares and misrepresented the trading in the market for the day on which such trading took place. The trades bypassed the normal market network, thereby affecting the interests of genuine investors trading in NECC shares.
help in exiting the stock
According to SEBI, Charamsukh IT Marketing and RealStep were associated entities of Utkarsh and Vanya Jain, who facilitated offloading of their shares and exit of NECC shares by placing buy orders in substantial quantities and matching their buy order rates. . The regulator also found that RealStep, Fanaswala and Darji created artificial volume by contributing 14.06 per cent of the market volume in the stock through execution of circular trades in NECC shares.
violated the provisions of these norms
The entities have violated the provisions of PFUTP norms. In a separate order, the regulator banned RB Traders and its owner Raj Bahadur Bhadauria from the securities market for a period of six months for indulging in unauthorized investment advisory services and also imposed a fine of Rs 8 lakh on them. Also, they have been asked to refund the money collected from the investors in respect of such services.
Source: www.tv9hindi.com
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