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Addendum to the Order dated June 05, 2020 in the matter of Greencrest Financial Services Ltd.

Securities And Exchange Board Of India16 June 2020

Ratio decidendi

The rule this decision rests on

A direction debarring persons from the securities market and restraining their dealings is not to be read as preventing them from closing out their existing open positions in the F&O segment, without roll-over, or from receiving transfer of their credit balance from the stock-broker, because those steps do not create fresh market exposure. Such a clarification is confined to the limited purpose of closing out open positions and paying credit balances. It does not permit any fresh position, whether by roll-over or otherwise, and stock exchanges and market participants must ensure that no fresh positions are created for the restrained persons.

Written by Miss Lucy from the judgment below, not taken from a headnote.

Judgment

As delivered

WTM/SM/IVD/ID6/7913/2020-21SECURITIES AND EXCHANGE BOARD OF INDIACORAM: S.K. MOHANTY, WHOLE TIME MEMBERORDER

ADDENDUM TO THE ORDER Ref No: WTM/SM/IVD/ID6/7842/2020-21 DATED JUNE 05, 2020 IN THE MATTER OF GREENCREST FINANCIAL SERVICES LTD.

1. Vide order Ref No: WTM/SM/IVD/ID6/7842/2020-21 dated June 05, 2020, passed in the matter of Greencrest Financial Services Ltd., the following entities have been debarred from accessing the securities market and have been further prohibited from buying, selling or otherwise dealing in securities, directly or indirectly, or being associated with the securities market in any manner, for a period of 3 years: Noticee no. Name of the Noticees PAN 1. PremLataNahar AFAPN8764M 2. ShyamKanheyalal Vyas ACTPV2787Q 3. Raj Kumar Sharma BMIPS9482B 4. SaritaPradipBissa BGLPB8816M 5. Puspal Chandra ACRPC1647G 6. Ravishankar Mishra BAFPM9504H 7. Mina Chandra AEMPC2501C 8. Sanjoy Kumar Chandra AHSPC1661N 9. PushpaAsoolalBissa BGXPB6906Q 10. Dilip Kumar Mandal BQCPM7585H 11. Priti Kothari AQVPK7342Q 12. Greencrest Financial Services Ltd AACCM1906E 13. Sunil Parakh ABWPP8624N 14. Aditya Parakh AKIPP7524Q 15. GulistanVanijya Pvt. Ltd. AACCG5385R 16. PS IT Infrastructure Services Ltd. AAACP6501C 17. JMD Sounds Ltd AABCJ1907H 18. Ravindra Kumar Grover ACDPG9740J

2. Vide email dated June 15, 2020, received from the stock-broker of Noticee nos. 12 and 14, a clarification has been sought with respect to squaring up of the open positions in F&O Segment and payment of credit balance, pertaining to the aforesaid two Noticees, i.e. Noticee nos. 12 & 14. 3. Having considered the issues, I find it appropriate to clarify that the directions issued vide aforesaid order dated June 05, 2020 shall not prohibit the Noticees including Noticee nos. 12 and 14, from closing their respective open positions and the same shall be done at the earliest, in terms of the contract(s) without any further roll-over and also shall not prohibit the transfer of credit balance from the stock-broker to accounts of the respective Noticees including Noticee nos. 12 and 14. 4. It is further clarified that the above clarification is issued only for the limited purpose of closing out of open positions in F&O segment and for payment of credit balance and shall not be construed by any means as allowing or permitting Noticees to take any fresh position in the market by means of roll over or otherwise. 5. In view of the above, I in exercise of powers conferred under Section 11(1),11B and 11(4) of the SEBI Act, 1992, hereby direct by way of clarification that the concerned stock exchanges and market participant(s) shall take note of the aforesaid directions and must strictly ensure that no fresh positions are created for the Noticees. 6. This addendum shall always be read as part of the order no. WTM/SM/IVD/ID6/7842/2020-21 dated June 05, 2020. 7. This order shall come into force with immediate effect.

-Sd- Date: June 16, 2020 S. K. MOHANTY Place: Mumbai WHOLE TIME MEMBER

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