Order in respect of Shri Anuj Maheshwari - in the matter of 4 SME Scrips

WTM/RKA/ISD/111/2016 SECURITIES AND EXCHANGE BOARD OF INDIA ORDER In respect of Mr. Anuj Maheshwari – In the matter of four SME scrips

1. Securities and Exchange Board of India (“SEBI”) vide an interim ex-parte order dated June 29, 2015 read with Corrigendum dated January 04, 2016 (hereinafter collectively referred to as “interim order”) restrained 254 entities including Mr. Anuj Maheshwari (PAN: ABCPM0456H) from accessing the securities market and further prohibited him from buying, selling or dealing in securities in any manner whatsoever, till further directions.

2. Towards implementation of the said direction, the demat account/s held by Mr. Anuj Maheshwari along with demat account no. 10823445 held by him jointly with his wife Mrs. Ruchi Maheshwari were frozen by the depositories for credit and debit of securities therein.

3. While the proceedings pursuant to the interim order are still in progress, Mr. Anuj Maheshwari inter alia requested for de-freezing of the aforesaid demat account no. 10823445 held with Depository Participant-Kotak Mahindra Bank Ltd., in view of the following reasons: a. His wife is a working woman and has her own source of income. b. His wife being the first holder in the said demat account is a true beneficiary of the account. c. His wife has made all investments from her own funds. 4. In support of aforesaid claims, Mr. Anuj Maheshwari submitted the following documents vide his e-mails dated August 20, 2016 and August 22, 2016: a. Copy of Profit & Loss Account, Balance Sheet and Income tax return for the assessment years 2012-13, 2013-14, 2014-15, 2015-16 and 2016-17. b. Copy of passbook/bank statement. c. Statement of broker ledger-account (Broker- Kotak Securities Ltd.) d. Holding statement. 5. On a consideration of the facts and circumstances of the case, the material on record including the aforesaid documents, I note the following: a) Mrs. Ruchi Maheshwari, the wife of Mr. Anuj Maheshwari, has not been restrained by the aforesaid interim order. b) She does not hold any shares of HPC Biosciences Ltd. c) Mrs. Ruchi Maheshwari is the first holder of the demat account no. 10823445 held with Depository Participant-Kotak Mahindra Bank Ltd.

Order in respect of Mr. Anuj Maheshwari d) Mrs Ruchi Maheshwari is holding 800 shares of Jindal Saw Ltd., 50 shares of Punjab and Sind Bank Ltd., 25 shares of Reliance Power Ltd. and 4 non-convertible debentures of IDFC Bank Ltd. in the aforesaid demat account. The total value of the securities, as on August 22, 2016, is `63,515/- (as confirmed by NSDL). e) She has disclosed the aforesaid securities in her Balance Sheet as on March 31, 2015 and March 31, 2016. f) She has also disclosed a gross total income of `7,70,430/-, `7,54,728/-, `7,73,372/-, `6,50,075/- and `6,86,540/- in her Income Tax Returns for the Assessment Years 2012-13, 2013-14, 2014-15, 2015-16 and 2016-17, respectively.

6. From the above, it is prima facie observed that the securities held in the demat account number 10823445 belongs to Mrs. Ruchi Maheshwari. 7. Considering the aforesaid submissions and evidences brought on record, I am of the view that the balance of convenience is in favour of Mrs. Ruchi Maheshwari. Accordingly, I allow Mrs. Ruchi Maheshwari to transfer the securities from the demat account number 10823445 held jointly with Mr. Anuj Maheshwari to another demat account exclusively held by Mrs. Ruchi Maheshwari in her individual name.

8. The aforesaid transfer shall be subject to the supervision of stock exchanges and depositories and shall be without prejudice to the findings of pending investigation in the matter.

Sd/- DATE: AUGUST 25th, 2016 RAJEEV KUMAR AGARWAL PLACE: MUMBAI WHOLE TIME MEMBER SECURITIES AND EXCHANGE BOARD OF INDIA