SEBI slaps ₹87 lakh fine on 15 individuals for manipulating share prices of Kapil Raj Finance

Capital Markets Regulator, Securities and Exchange Board of India (sippy)On Friday, it imposed fines totaling Rs 87 lakh on 15 individuals for manipulating share prices. Kapil Raj Finance.

SEBI has investigated the business activities of some entities of Kapil Raj Finance Ltd (KRJFL), an entity listed on the Bahrain Stock Exchange.

The investigation was mainly to ascertain whether there was any alleged trading by the suspected entities during the period from January to April 2018.

G Ramar, Chapter Officer of SEBI, said: “I note that they (individuals) engaged in circular trading without changing the beneficial ownership, contributing to nearly 80 per cent of the circular trading volume, thus creating 22.2 per cent of the trading volume, which was non-commercial. real and artificial, which created a misleading appearance of circulation.”

He added that by creating artificial volumes, they lured investors into trading in KRJFL stock.

Through these actions, individuals have violated the PFUTP (Fraudulent and Unfair Business Practices Prohibition) rules.

Accordingly, SEBI imposed a fine of ₹8 lakh on Divyaben Hiteshbhai Gangani and Pardhi Dhirubhai Khanabhai, and ₹7 lakh on Bhavin Natwarlal Panchal, Deepak Parsharam Salvi and Ravikumar Vinodbhai Parmar.

The markets regulator also imposed a fine of $5,000 on each of Nikhil Kiritbhai Panchal, Naileshkumar Ganeshbhai Prajapati, Jai Kamleshbhai Bhavsar, Kronal Bhupendrabhai Makwana, Nilesh Kishanbhai Pandya and Chandakant Sivantilal Thakkar. The organizers Dashrathbhai Maheshbhai Vada, Manjulaben Bhaveshkumar Rangee, Bhumikaben Makvana Bhumikaben and Dineshbhai Vaghela were also punished.

In four separate orders on Thursday, SEBI fined Vyomesh Patel, Yogendra Bhupendra Vekaria, Vipul Pushpavadan Shah and Vinay Madhukar Chavan $5 each for engaging in fraudulent deals in BSE’s illiquid stock options segment.

The regulator noticed a large-scale reversal of deals in the illiquid stock options segment of BSE, which led to the creation of artificial volumes on the exchange.

In the matter, the regulator said it had conducted an investigation into the business activities of certain entities operating in the BSE sector from April 2014 to September 2015.