Sebi bars three for five yrs over fraudulent trading in shares of Atlantaa

The Securities and Exchange Board of India (Sebi) on Wednesday barred three individuals from the markets for five years for alleged fraudulent trading in shares of Atlantaa through misleading videos on YouTube.

 

Sebi had earlier issued restraint orders on two of the individuals, Manish Mishra and Vivek Chauhan, in earlier cases involving Sadhna Broadcast and Sharpline Broadcast.

 

The alleged manipulation in Atlantaa was done in 2022. The stock had remained in a narrow range before the misleading videos were uploaded on YouTube. Through the YouTube videos, the perpetrators induced investors to acquire the shares of the company, following which they sold a substantial portion of their holdings at inflated prices.

 

Make smarter market moves with The Smart Investor. Daily insights on buzzing stocks and actionable information to guide your investment decisions delivered to your inbox.

Subscribe

 

The price increased from Rs 18.4 to Rs 27.45 within the next week.

 

The market regulator has directed disgorgement of Rs 6 crore from Sharma and Rs 4.37 crore from Mishra. The amount will be credited to the Investor Protection and Education Fund (IPEF).

 

Sebi has also imposed a penalty of Rs 50 lakh on Mishra, Rs 10 lakh on Chauhan, and Rs 10 lakh on one Ankur Sharma for collusion in the matter.