Sebi on Tuesday confirmed the securities market ban on 21 entities in a case related to manipulation of share price of Sadhna Broadcast by way of uploading misleading videos on YouTube channels.
The ban on one individual -- Kundan Singh Bisht -- has been lifted and the total estimated amount of illegal gains through the alleged manipulation has been revised to Rs 38.61 crore.
In March this year, the watchdog had barred various entities in the case and the estimated illegal gains earlier was Rs 41.85 crore.
In a 125-page confirmatory order in the case with respect to 22 entities on Tuesday, Sebi refused to lift the ban on 21 of them.
Advertisement
"I find that the submissions of the Noticees, except that Kundan Singh Bisht, are insufficient to refute the prima facie conclusions drawn in the Interim Order.
"Consequently, the prima facie findings in the interim order dated
March 02, 2023 that the Noticees have engaged in a fraudulent and manipulative scheme resulting in contravention of provisions of PFUTP (Prohibition of Fraudulent and Unfair Trade Practices) regulations, stand confirmed," Sebi's Whole-Time Member Ananth Narayan G said in the order.
The watchdog noted that the liability for the illegal gain made by each entity to this order shall be borne by them individually.
Advertisement
The directions for impounding issued against Subhash Agarwal, Saurabh Gupta, Paras Shah and Arpan Gupta are hereby revoked, as no illegal gains were said to be made through trades directly done by them, Sebi said.
Further, Sebi gave relaxations to Bhim Singh Chaudhary and Yogesh Kumar Gupta and permitted them to withdraw funds to the extent of Rs 1 lakh per month to meet the medical expenses of their family members.
The latest order pertains to 22 noticees.
On March 27, the Securities Appellate Tribunal (SAT) had set aside the interim order with respect to four noticees -- Aahuti Rasik Mistry, Arshad Hussain Warsi, Maria Goretti Warsi and Iqbal Hussain Warsi.
Besides, confirmatory order, dated July 30, has been passed with respect to five other noticees in the case.
"The investigation shall be carried out without being influenced by any of the directions passed or any observation made either in the interim order or in the present order.
"Based on the outcome of the investigation, appropriate proceeding will be initiated in accordance with law," Sebi said in the order on Tuesday.
Just one email a week