SEBI slaps Rs 10 lakh on PCL promoters
28 Sep 2012 2:18 AM GMT
Market regulator SEBI has slapped a total fine of Rs 10.50 lakh on three promoters of Platinum Corporation Ltd (PCL) for violating various norms, including those related to insider trading in acquiring shares. SEBI has slapped a fine of Rs 4.50 lakh each on Parag Shah and Jayesh Shah besides a penalty of Rs 1.50 lakh on Tushar Shah.
According to three separate orders dated 26 September, all of them failed to make disclosures about their shareholding to PCL as required by the regulations.
'... by not complying with the regulatory obligation of making the disclosure, the Noticee (Parag Shah, Jayesh Shah and Tushar Shah) had not provided the vital information which is detrimental to the interest of investors in securities market,' SEBI said in similarly-worded three separate orders. A SEBI probe found all the three had violated rules with regard to making disclosures.
All the three individuals failed to disclose the number and percentage of shares held in PCL within the stipulated time.
Parag Shah and Jayesh Shah were also found to be violated norms by not informing changes in their shareholding pattern in PCL. As per SEBI rules, a promoter or every person having control over a company is required to disclose the number and percentage of shares or voting rights held in a company, within 21 days from the close of financial year.
The regulator observed that Parag Shah and Jayesh Shah failed to disclose that they held over five per cent stake in PCL.
Under norms related to insider trading, any person who holds over five per cent shares in any listed company shall disclose the details within four working days of acquiring the quantity of scrips that led to hike in shareholding.
According to three separate orders dated 26 September, all of them failed to make disclosures about their shareholding to PCL as required by the regulations.
'... by not complying with the regulatory obligation of making the disclosure, the Noticee (Parag Shah, Jayesh Shah and Tushar Shah) had not provided the vital information which is detrimental to the interest of investors in securities market,' SEBI said in similarly-worded three separate orders. A SEBI probe found all the three had violated rules with regard to making disclosures.
All the three individuals failed to disclose the number and percentage of shares held in PCL within the stipulated time.
Parag Shah and Jayesh Shah were also found to be violated norms by not informing changes in their shareholding pattern in PCL. As per SEBI rules, a promoter or every person having control over a company is required to disclose the number and percentage of shares or voting rights held in a company, within 21 days from the close of financial year.
The regulator observed that Parag Shah and Jayesh Shah failed to disclose that they held over five per cent stake in PCL.
Under norms related to insider trading, any person who holds over five per cent shares in any listed company shall disclose the details within four working days of acquiring the quantity of scrips that led to hike in shareholding.
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