New Delhi, Sep 30 (PTI) Capital markets regulator Sebi has banned two individuals and two entities from accessing securities markets for providing investment advisory services without the regulator’s permission.
The regulator has withheld Mahankal Capital, its owner Ajay Thakur, Money Capital Investment and its owner Vijay Thakur from the stock markets for six months.
The decision came after complaints against 15 entities, which were allegedly involved in investment advisory activities for the period April-November 2019 without having obtained the required registration with the market watchdog.
Sebi conducted a review of the case and issued an interim ex parte order dated February 07, 2020 against the entities and ordered them to cease and desist from holding/acting as an investment adviser and their further banned securities markets until further orders.
The regulator found that the entities and their owners were providing investment advisory services without obtaining certification from Sebi as an investment adviser, which violates IA (Investment Advisers) regulations.
The prima facie amount of money raised by Mahankal Capital and its owner raised Rs 85.02 lakh for the period April-September 2019, while Money Capital Investment raised Rs 52 lakh from its clients, Sebi said in his order Thursday.
Mahankal Capital, its owner Ajay Thakur and Money Capital Investment and its owner are collectively referred to as notices.
The regulator also noted that the reviews also violated PFUTP standards due to his fraudulent conduct of falsely claiming to be a registered investment adviser with Sebi.
Accordingly, Sebi said the notices will reimburse within three months the money received from investors as fees for his unregistered investment advisory activities.
In addition, notices were barred from accessing securities markets for a period of 6 months or until the expiration of 6 months from the date of completion of redemptions to investors, whichever is later. late.
Meanwhile, in a separate order, Sebi fined 5 entities Rs 30 lakh for engaging in share price manipulation of Gokul Solutions Ltd.
The order came after Sebi conducted an investigation into trading in certificates of Gokul Solutions Ltd for the period of December 2014 to February 2018 to determine violations of provisions of the PFUTP (Prohibition of Fraudulent and Unfair Trading Practices) standards.
In accordance with the investigation, the regulator found that all the entities are related to each other in various capacities having off-market transactions, a common direction and a common address.
The entities’ trading pattern created a positive Last Trade Price (LTP) and it is also clear that they were acting in concert, thus violating the rules of the PFUTP.
In another order, the regulator fined 24 entities Rs 24 lakh for failing to provide information and failing to comply with the subpoena issued by Sebi in the Delta Leasing & Finance Ltd case. PTI HG HG BAL BAL