SEC temporarily suspends trading in Guar Global shares

US capital market watchdog SEC today temporarily suspended trading in shares of Guar Global, an India-focused company, amid suspicion of potentially manipulative transactions.
Guar Global is a research-driven development stage that aims for modern strategies to increase yields of guar crops as a high quality product for the oil and gas sector, according to its website.
The Securities and Exchange Commission (SEC) said it has temporarily suspended trading in the securities of Guar Global.
This is "because of concerns regarding the accuracy and adequacy of information in the marketplace and potentially manipulative transactions in Guar Global's common stock," it said in a statement.

In a separate statement, Guar Global said it has learnt of unauthorised third-party promotional activities.
"The aforementioned promotional activities are attributed to third parties not associated with the company's officers, directors, insiders, or investor relations firm, and the company has no involvement with the promotional activities nor does the company endorse or condone any such promotional activities," the firm noted.

Stressing that it remains committed to the highest levels of transparency and corporate governance, Guar Global cautioned public against relying upon unsolicited promotional material or emails when it comes to investing.
Meanwhile, SEC has asked broker-dealers, shareholders and prospective purchasers to carefully consider all available information regarding these shares.

"Brokers and dealers should be alert to the fact that... at the termination of the trading suspension, no quotation may be entered unless and until they have strictly complied with all of the provisions of the rule," SEC noted.
The regulator has warned of enforcement action in case any broker or dealer enters into a quotation related to the company scrip that violates SEC norms.
Guar gum is mainly used for hydraulic fracturing activity in the oil and gas sector.