Business Standard

Backstage: Chipping away at the pyramid

Related News

Few would expect a doctor to become a police officer, let alone handle investigations related to stock market manipulation. But that’s precisely what Pradnya Saravade, an Indian Police Service (IPS) officer of the 1989 batch, has done — she joined Securities and Exchange Board of India (Sebi) last year, as an officer on special duty after Sebi decided to separate its investigation and adjudication departments.

Saravade used trading data from the stock exchanges to establish the manipulation in share prices of Pyramid Saimira. She was also able to create a cash trail using bank account transaction details. Sebi’s 54-page order last week shows that Sarvade also got detailed phone call records to prove her case. Eventually, this led to an order which barred Pyramid Saimira’s promoters Nirmal Kotecha and P S Saminathan, along with 228 others, from the securities market.

While the Maharashtra-cadre officer refused to speak to Business Standard, according to information posted on the website of her husband — Nandkumar Sarvade, a former IPS officer — the 44-year-old is a post-graduate in General Surgery from Mumbai’s Grant Medical College. But she decided against becoming a surgeon and instead chose to “have more fun” by joining the police service. “It may be mentioned here that at the time of the decision, we were already married and I can claim to have made a significant contribution to her decision!” says the post on the website. Though her husband was in the Maharashtra cadre, Saravade did her field duty in West Bengal’s 24 Pargana district. After stints in West Bengal’s intelligence branch and in airport security in Kolkata, she moved to her home state with most of her postings in Mumbai.

Saravade is not new to the capital markets and economic fraud. During her stint at the Central Bureau of Investigation’s Bank Securities and Fraud Cell, she had handled the investigation and trial of the 1992 securities scam. She has also been associated with the Cyber Crime Investigation Cell at Mumbai. In the crime branch, she dealt with preventive law enforcement. She has also had her share of controversies. During her stint at the state’s Anti-Corruption Bureau (ACB), she handled extortion-related cases involving Mumbai’s encounter specialist Daya Nayak. The other controversial case was that of the Maharashtra Public Service Commission.

Former Maharashtra Director General of Police P S Pasricha, however, is all praise for her stint at the ACB.

Maharashtra’s DIG Prison and a former colleague Rajnish Seth says, “She has the right aptitude for detection of economic offences and her previous postings have helped her gain sound knowledge to deal with economic crimes.”

In the past, Sebi has often been criticised for preparing weak cases which were overturned by the Securities Appellate Tribunal. It remains to be seen if the same fate awaits Sarvade’s investigation.

Read more on:   

Backstage: Chipping away at the pyramid

Few would expect a doctor to become a police officer, let alone handle investigations related to stock market manipulation. But that’s precisely what Pradnya Saravade, an Indian Police Service (IPS) officer of the 1989 batch, has done — she joined Securities and Exchange Board of India (Sebi) last year, as an officer on special duty after Sebi decided to separate its investigation and adjudication departments.

Few would expect a doctor to become a police officer, let alone handle investigations related to stock market manipulation. But that’s precisely what Pradnya Saravade, an Indian Police Service (IPS) officer of the 1989 batch, has done — she joined Securities and Exchange Board of India (Sebi) last year, as an officer on special duty after Sebi decided to separate its investigation and adjudication departments.

Saravade used trading data from the stock exchanges to establish the manipulation in share prices of Pyramid Saimira. She was also able to create a cash trail using bank account transaction details. Sebi’s 54-page order last week shows that Sarvade also got detailed phone call records to prove her case. Eventually, this led to an order which barred Pyramid Saimira’s promoters Nirmal Kotecha and P S Saminathan, along with 228 others, from the securities market.

While the Maharashtra-cadre officer refused to speak to Business Standard, according to information posted on the website of her husband — Nandkumar Sarvade, a former IPS officer — the 44-year-old is a post-graduate in General Surgery from Mumbai’s Grant Medical College. But she decided against becoming a surgeon and instead chose to “have more fun” by joining the police service. “It may be mentioned here that at the time of the decision, we were already married and I can claim to have made a significant contribution to her decision!” says the post on the website. Though her husband was in the Maharashtra cadre, Saravade did her field duty in West Bengal’s 24 Pargana district. After stints in West Bengal’s intelligence branch and in airport security in Kolkata, she moved to her home state with most of her postings in Mumbai.

Saravade is not new to the capital markets and economic fraud. During her stint at the Central Bureau of Investigation’s Bank Securities and Fraud Cell, she had handled the investigation and trial of the 1992 securities scam. She has also been associated with the Cyber Crime Investigation Cell at Mumbai. In the crime branch, she dealt with preventive law enforcement. She has also had her share of controversies. During her stint at the state’s Anti-Corruption Bureau (ACB), she handled extortion-related cases involving Mumbai’s encounter specialist Daya Nayak. The other controversial case was that of the Maharashtra Public Service Commission.

Former Maharashtra Director General of Police P S Pasricha, however, is all praise for her stint at the ACB.

Maharashtra’s DIG Prison and a former colleague Rajnish Seth says, “She has the right aptitude for detection of economic offences and her previous postings have helped her gain sound knowledge to deal with economic crimes.”

In the past, Sebi has often been criticised for preparing weak cases which were overturned by the Securities Appellate Tribunal. It remains to be seen if the same fate awaits Sarvade’s investigation.

image

Read More

Abheek Barua: Post-policy blues

In spite of the RBI's rate cut and the Centre's reforms, any recovery will only be half-hearted

Recommended for you

Most Popular Columns

Ajit Balakrishnan

Ajit Balakrishnan: When retirement beckons
Ajit Balakrishnan

How do the powerful manage the approach of long years of retirement?

Debashis Basu

Debashis Basu: Mr Modi, jobs and rule-making
Debashis Basu

Mr Modi's social engineering objectives and event-management skills are remarkable. Shouldn't he spend some of it fortifying the magic bullet of ...

A K Bhattacharya

A K Bhattacharya: India - The new global favourite?
A K Bhattacharya

A recent Unctad listing and a new profitability index bring into sharp focus India's improved performance on the foreign investment front in the last few years

Columnists

Ajit Balakrishnan

Ajit Balakrishnan: When retirement beckons
Ajit Balakrishnan

How do the powerful manage the approach of long years of retirement?

Andrew Sheng & Xiao Geng

Andrew Sheng & Xiao Geng: Experimental China
Andrew Sheng & Xiao Geng

Rather than avoiding risk, China's leaders remain prepared to reverse failing policies; and, if necessary, they are willing to pay for mistakes

Shailesh Dobhal

Shailesh Dobhal: The family in Indian business
Shailesh Dobhal

In peace and at war, firms remain tethered to promoter families in a uniquely Indian way

Back to Top