Order in the matter of HEM Securities Limited
- Order No.WTM/KMA/IVD/180/12/2009
Ratio decidendi
The rule this decision rests on
Where an enquiry officer finds that a stock broker has not violated the Stock Brokers and Sub-brokers Regulations, 1992, or the Prohibition of Fraudulent and Unfair Trade Practices Regulations, 1995, and the authority, after considering the enquiry report and the material on record, agrees with those findings, the enquiry proceedings are disposed of without any penalty. Where an enquiry was initiated under the Procedure for Holding Enquiry by Enquiry Officer and Imposing Penalty Regulations, 2002, and those Regulations have since been repealed by the Intermediaries Regulations, 2008, the order disposing of that enquiry is made under the relevant provisions of the 2008 Regulations, read with section 19 of the Securities and Exchange Board of India Act, 1992.
Written by Miss Lucy from the judgment below, not taken from a headnote.
Judgment
As delivered
WTM/KMA/IVD/180/12/2009 SECURITIES AND EXCHANGE BOARD OF INDIA ORDER UNDER REGULATION 28(2) AND 38(2) OF THE SECURITIES AND EXCHANGE BOARD OF INDIA (INTERMEDIARIES) REGULATIONS, 2008 IN RESPECT OF HEM SECURITIES LIMITED IN THE MATTER OF SRI ADHIKARI BROTHERS TELEVISION LIMITED
1. The Securities and Exchange Board of India (hereinafter referred to as SEBI) had initiated an enquiry vide Orders dated March 12, 2004 and November 8, 2004 against the stock broker namely, Hem Securities Limited [member, Bombay Stock Exchange Limited] under the provisions of the Securities and Exchange Board of India (Procedure for Holding Enquiry by Enquiry Officer and Imposing Penalty) Regulations, 2002 (since repealed) for the alleged violations inter alia of the Securities and Exchange Board of India (Stock Brokers and Sub-brokers) Regulations, 1992 and the Securities and Exchange Board of India (Prohibition of Fraudulent and Unfair Trade Practices Relating to Securities Market) Regulations, 1995, while dealing in the shares of Sri Adhikari Brothers Television Network Limited. The Enquiry Officer, vide Report dated November 24, 2005 concluded that Hem Securities Limited had not violated the aforesaid provisions and did not recommend any penalty. After having considered the Enquiry Report and other material on record, I agree with the findings of the Enquiry Officer. Therefore, the present enquiry proceeding against the stock broker is disposed of as ordered herein below. As the Securities and Exchange Board of India (Procedure for Holding Enquiry by Enquiry Officer and Imposing Penalty) Regulations, 2002 have been repealed by the Securities and Exchange Board of India (Intermediaries) Regulations, 2008, this Order is being issued under the relevant provisions of the Securities and Exchange Board of India (Intermediaries) Regulations, 2008. 2. In view of the foregoing, in exercise of powers conferred upon me under Section 19 of the Securities and Exchange Board of India Act, 1992 read with Regulations 28(2) and 38(2) of the Securities and Exchange Board of India (Intermediaries) Regulations, 2008, hereby dispose of the instant enquiry proceedings initiated against Hem Securities Limited vide Orders dated March 12, 2004 and November 8, 2004, without any penalty.
DR. K. M. ABRAHAM WHOLE TIME MEMBER SECURITIES AND EXCHANGE BOARD OF INDIA Place: Mumbai Date: December 7, 2009
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