An AD INTERIM EX PARTE impounding order passed against the noticees for violation of SEBI regulation – THE SECURITIES AND EXCHANGE BOARD OF INDIA
A preliminary examination was conducted by SEBI into trading activities of certain entities and found violations in provisions of Securities and Exchange Board of India Act, 1992 and various regulations frames under SEBI regulations,2003 the investigation was done on the fact that high correlation of the trades of the aforesaid entities was observed with the recommendations furnished in the show Stock 20-20 aired on news channel CNBC Awaaz and in light of these findings proceedings was conducted under ANANTA BARUA (WHOLE TIME MEMBER)
an interim ex parte order was issued by SEBI against the noticee and the replies of the noticees were heard and a “Confirmatory Order” was passed In the confirmatory order a detailed investigation was undertaken in the matter by SEBI. The detailed investigation covered all the stock recommendations made on all televised shows hosted/co-hosted by Noticee on the channel on the Intraday trades day and further investigation was conducted to check whether there was any violations in PFUTP Regulations, 2003 and SEBI Act, 1992 by noticee
the conclusion of the investigation forming part of various allegations was issued to noticee through show cause notice and it was observed that noticee has made wrongful gains off Rs. 4,51,88,459.07/-and Rs. 1,63,28,675.02/-, respectively, as a result of the impugned trades and the officer, find it necessary to take urgent steps for impounding the remaining proceeds of wrongful gains made by the Noticees through impugned trades, by way of an ex parte ad interim measure, under Sections 11(1), 11(4) and 11B (1) of the SEBI Act, 1992 and direction relating to the order was attached with the order issued to noticee.
Order reviewed by Naveen Sharma