Sebi bans sub-broker for violating market norms

Sebi today barred a sub-broker from accessing the capital market period of five years for violation of market norms including mis-utilization of funds from clients and unauthorised trades.
According to the order by Securities and Exchange Board of India (Sebi), one Avinash Krishnaji Dixit, proprietor of Max Investments and Financial Services, accepted cash from clients and issued receipts in favour of its stock broker and mis-utilised demand drafts received from clients.
Besides, he allegedly executed unauthorized trades and failed to provide contract notes to clients.
Slapping a ban on Dixit, Sebi in its order today said, "The consequences resulting from violations committed by the noticee (Dixit) are of very grave nature and are prejudicial to the interests of investors in the securities market."

It added, "... Persons such as Avinash Krishnaji Dixit should never be allowed to have access to the securities market, even more importantly in roles such as sub-broker, etc in view of the possible danger to the investors."
The regulator barred Dixit from accessing the capital market and prohibited him from buying, selling or otherwise dealing in the securities market, directly or indirectly, for a period of five years.
Dixit was affiliated to India Infoline Ltd and was a Sebi registered sub-broker of NSE.