Sebi fines 7 entities for fraudulent trade in Sanwaria Agro stocks

Markets regulator Sebi has imposed a total penalty of Rs 32 lakh on seven entities for indulging in fraudulent trading in the shares of Sanwaria Agro Oils.

The regulator conducted a probe in the scrip of Sanwaria Agro during March-May 2010 and found that these seven connected entities indulged in reversal, synchronised trades among themselves.

Theses trades were carried out to create false appearance of trading in the scrip of Sanwaria Agro, it added.

By indulging in such trades, the entities violated the provision of PFUTP (Prohibition of Fraudulent and Unfair Trade Practices) norms.

Accordingly, the Securities and Exchange Board of India (Sebi) has levied a fine totalling Rs 32 lakh on these entities and asked them to pay the fine within 45 days.

Individually, the regulator has slapped a fine of Rs 6 lakh on Afjalbhai Kasambhai Lakhani, Rs 5 lakh each on Lalit Amritlal Shah, Suhani Lalitshah, Pragnesh Vishnubhai Patel, Asrafbhai Majidbhai Pancha, Rs 3 lakh each on Monarch Research and Brokerages and Monarch Project and Finmarkets.