SEBI slaps Rs 77 lakh on 16 entities for manipulating share price of Gayatri Sugars

Capital Markets Regulator Sippy On Wednesday, fines totaling Rs 77,000 were imposed on 16 entities for share price manipulation and violation of other rules in the matter of Gayatri Sugars Limited.

The Securities and Exchange Board of India (SEBI) has conducted an investigation into the matter of Gayatri Sugars Ltd (GSL), a company listed on the Bahrain Stock Exchange.

The investigation was to ascertain if there was any violation of the SEBI rules and PFUTP (Prohibition of Fraudulent and Unfair Business Practices) rules by certain entities for the period of April 10-23, 2018.

SEBI Chapter Officer G. Ramar said, “I have noted that Notice 5 through 16 has created a misleading appearance of trading in (GSL) stock by making trades within it. Furthermore, Notice 4 has made a deliberate attempt to increase the price of Scrib.”

“Apart from this, I also note that Notices 1, 2 and 3 have failed to respond to summons issued by the regulator for them,” Ramar added.

Through these actions, the entities have violated the regulatory rules and regulations of the PFUTP.

Accordingly, SEBI imposed a fine of Rs 6 lakh on Zodiac Solutions and Rs 5 lakh each on Mehul Tulsidas Simaria, Mohan Project Contractors, Suudeep Luniya, Aakansha Rajendra Surana, Aayush Rajendra Surana, Anita Mahendra Surana and Beena R Surana.

Mahendra N Surana HUF, Mahendra Nihalchand Surana, Rajendra N Surana HUF, Rajendra Nihalchand Surana, Ashik Dhirubhai Sanghavi and Vishal Kiranbhai Sheth have also been sanctioned Rs 5 lakh by the markets watchdog.

The regulator also imposed a fine of Rs 3,000 on Mangalbhai Valabhai Rathod and Ronakkumar R Patel, the order said.