SEBI discontinues action against 6 GHCL Promoter Entities

As a part of SEBI’s surveillance function, price and volume movement shares traded at BSE and NSE are being monitored under Integrated Market Surveillance System (IMSS). Based on certain pre-decided parameters built the IMS System, an alert for the trades in the scrip of GHCL Ltd. (GHCL) generated. A preliminary examination of the alert and the trading activities the scrip of GHCL revealed certain abnormal dealings in the shares of GHCL by certain entities related to the promoter group along with Jalco group entities warranting emergency measures to protect the interest of the investors.

By an ex-parte interim order dated April 25, 2007, directions were passed against certain entities including the following six promoter group entities inter alia directing not buy, sell or deal in the shares of GHCL., directly or indirectly, pending inquiry and passing of final order, for the detailed reasons mentioned in the said order;

1 Antarctica Investment Pvt. Ltd.
2 Carissa Investments Pvt. Ltd.
3 Comosum Investment Pvt. Ltd.
4 Altar Investment Pvt. Ltd.
5 ILAC Investment Pvt. Ltd.
6 Dalmia Housing Finance Ltd.

The above entities were given 15 days to file their objections, if any, to the said ex-parte interim order.

Aggrieved by the aforesaid Order, six promoter group entities preferred an appeal before the Hon’ble Securities Appellate Tribunal.

Based on the clarifications and the averments of the six promoter group entities during the personal hearing and thereafter and without prejudice to the ongoing investigation, I am of the prima facie view that there is no need to continue the directions given vide ex-parte interim order dated April 25, 2007 against the aforesaid six promoter group entities.

The findings arrived in this Order are based on the materials available on record and the various submissions and averments made by six promoter group entities. Issues, if any, arising out of the aforesaid will be looked into by the ongoing investigation and an appropriate view may be taken after completion of investigation in the matter.

The above direction shall take effect immediately and shall be in force until further orders.

Source : Equity Bulls

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