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SEBI: Sebi fines an individual Rs 5L for non-compliance

The market watchdog also imposed a fine of Rs 2 lakh on Steel City Securities Ltd for violating code of conduct for stock brokers, according to an order.


PTI India
Updated: 16-07-2018 20:26 IST
SEBI: Sebi fines an individual Rs 5L for non-compliance

However, a notice was again sent to Parekh in May 2018 for failure to comply with the Sebi order. (Image Credit: Twitter)

Markets regulator Sebi today imposed a penalty of Rs 5 lakh on one Chandrakant A Parekh for failing to comply with its earlier directive to disgorge amount of unlawful gain.

The market watchdog also imposed a fine of Rs 2 lakh on Steel City Securities Ltd for violating code of conduct for stock brokers, according to an order.

In Parekh case, Sebi had passed an order in May 2010 directing the individual to disgorge unlawful gain of nearly Rs 24.30 lakh along with interest amounting to Rs 6.55 lakh, totalling over Rs 30.85 lakh, and restrained him from buying, selling or dealing in the securities market for a period of one year.

Parekh had appealed against the order in the Securities Appellate Tribunal (SAT) and consequently in Supreme court. The appeal was dismissed by the SAT and further by the Supreme court, thus Parekh was bound to comply with regulator's order of May, 2010, Sebi said in an order.

However, a notice was again sent to Parekh in May 2018 for failure to comply with the Sebi order.

The Noticee has neither filed any reply nor has availed the opportunity of personal hearing despite service of notices upon him, added Sebi.

"It is noted that the order May, 2010 was in operation and force at all times. Even after Noticee's (Parekh) appeal was dismissed by SAT and further by Supreme Court, the Noticee chose to completely disregard the directions and violate the order dated May 10, 2010. I, therefore, deem this case fit to impose monetary penalty upon the Noticee under section ... of the Sebi Act," said chief general manager and adjudicating officer, Santosh Shukla and thereby imp0sed a fine of Rs 5 lakh.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

COUNTRY : India

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