SAT uphold Sebi order in Ind-Swift Laboratories case

The Securities Appellate Tribunal (SAT) today upheld Sebi's order that had imposed Rs 10 lakh penalty against an individual for alleged fraudulent dealings in shares of Ind-Swift Laboratories.
The market regulator, in February last year, slapped a fine of Rs 10 lakh on one Balwinder Singh for violating Sebi's Prohibition of Fraudulent and Unfair Trade Practices norms.
Singh had been charged with executing wash trade/self trades/fictitious trades in the shares of Ind-Swift Laboratories from August 1, 2010 to August 31, 2011.
"...Charge of volume manipulation against appellant has been conclusively proved by his wash trade/self trades in scrip of ISLL during investigation period, which has in turn lead to undermining investor's confidence in securities market and disturbing equilibrium of securities market; the appeal is not allowed," SAT said in its order today.

An examination by the Securities and Exchange Board of India (Sebi) into the alleged irregularities in the trading in shares of Ind-Swift Laboratories revealed Singh had indulged in executing wash trade/self trades/fictitious trades in the scrip of the company during the investigation period.
These trades, the regulator, said were in violation of the norms on prohibition of fraudulent and unfair trade practices.
The regulator said that Singh is the proprietor of Gogia Investments, a registered sub-broker of Kotak Securities at National Stock Exchange (NSE) and BSE.
As per Sebi, Singh had traded in the scrip of Ind-Swift Laboratories through three different brokers including Kotak Securities at both BSE and NSE.