Order In The Matter Of Millennium Cybertech Limited

1. On the basis of the preliminary findings of the investigation conducted in respect of the unusual rise in the volumes and price of the shares of Millennium Cybertech Limited (hereinafter referred to as the company) observed during the period between June 1, 2005 and September 30, 2005, the Securities and Exchange Board of India (hereinafter referred to as SEBI), pending investigation, had vide an ad-interim ex-parte Order dated January 24, 2006 (hereinafter referred to as the Order) inter alia passed various directions against a number of persons/entities, as stated therein. As per the aforesaid Order, Camcon Engineers Limited, Mr. Harish Sujan, Mr. Neel Sujan, Mr. Ghanshyam Sujan and Mr. Bernard D’souza were directed not to buy, sell or deal in the securities of the company, directly or indirectly, till further directions. The said Order had also directed the stock brokers, Indiabulls Securities Limited, Fortis Securities Limited (now known as Religare Securities Limited), Joindre Capital Services Limited, Insight Share Brokers Private Limited and M/s. Vijay Bhagwandas & Co. not to buy, sell or deal in the securities of the company for the entities mentioned under paragraphs (b) to (f) at page 18 and 19 of the Order.

Thereafter, the investigation in the matter had been concluded and necessary proceedings/enforcement actions have been initiated against various persons/entities found to have prima facie indulged in manipulation in the shares of the company during the relevant period. I note that the investigation conducted by SEBI was not able to make any adverse findings against Camcon Engineers Limited, in the absence of supporting material and therefore no further action was initiated against the said entity. I also note that adjudication proceedings were initiated against Mr. Harish Sujan, Mr. Ghanshyam Sujan, Mr. Neel Sujan and Mr. Bernard D’Souza by SEBI for the violation of Regulation 3(a) of Securities and Exchange Board of India (Prohibition of Fraudulent and Unfair Trade Practices Relating to Securities Market) Regulations, 2003 (hereinafter referred to as PFUTP Regulations). The penalty of Rs.3,00,000/-each imposed by the Adjudicating Officer (vide orders dated February 12, 2009) have since been paid by Mr. Harish Sujan, Mr. Ghanshyam Sujan and Mr. Neel Sujan. The adjudication proceeding initiated against Mr. Bernard D’Souza was disposed of, vide the consent order dated January 5, 2009.

2. I also note that administrative warning has been issued to the stock brokers, Indiabulls Securities Limited, Fortis Securities Limited (now known as Religare Securities Limited), Joindre Capital Services Limited and Insight Share brokers Private Limited, in respect of their dealings in the matter. It is also noticed that the investigation conducted by SEBI could not find any adverse findings in respect of the trading of the stock broker, M/s. Vijay Bhagwandas & Co. In view of the above, in the interest of justice, it would be appropriate to vacate the directions passed against Camcon Engineers Limited, Mr. Harish Sujan, Mr. Neel Sujan, Mr. Ghanshyam Sujan and Mr. Bernard D’souza, Indiabulls Securities Limited, Fortis Securities Limited (now known as Religare Securities Limited), Joindre Capital Services Limited, Insight Share Brokers Private Limited and M/s. Vijay Bhagwandas & Co. Accordingly, I do so, as ordered hereinunder.

3. In view of the foregoing, I, in exercise of powers conferred upon me under Sections 11B and 11(4) of the Securities and Exchange Board of India Act, 1992, hereby vacate the directions issued vide SEBI Order dated January 24, 2006 in the matter of Millennium Cybertech Limited against Camcon Engineers Limited, Mr. Harish Sujan, Mr. Ghanshyam Sujan, Mr. Neel Sujan, Mr. Bernard D’Souza, and the stock brokers, Indiabulls Securities Limited, Fortis Securities Limited (now known as Religare Securities Limited), Joindre Capital Services Limited, Insight Share brokers Private Limited and, M/s. Vijay Bhagwandas & Co., with immediate effect.

DR. K. M. ABRAHAM WHOLE TIME MEMBER SECURITIES AND EXCHANGE BOARD OF INDIA PLACE: MUMBAI DATE: MARCH 13, 2010