Mumbai: Capital market regulator Sebi imposed a penalty of Rs 5 lakh on Gemini Communication for making wrong disclosures of its promoters shareholding.
In an order, the Securities and Exchange Board of India (Sebi) said that the company "had filed wrong disclosures regarding the shareholding of its promoters, R Vijaykumar and R Ramkumar, and such wrong disclosures were filed continuously for six quarters starting from the quarter ended June 2010 to September 2011". Accordingly, the market regulator has imposed "a penalty of Rs 5 lakh" on Gemini Communication. Sebi noted in the order that "the shareholding and names of promoters and significant shareholders form a very important criterion for the public to make their investment decisions".
In a separate order, Sebi has slapped of "a penalty of Rs 2 lakh" on one Om Prakash Gupta for fraudulent trading in shares of Riba Textiles and Winsome Textile Industries. Sebi found that Gupta had executed self trades in the scrip of Riba Textiles for 16,560 shares which is 5.75 per cent of his total traded quantity in the scrip and for 17,001 shares in the scrip of Winsome Textile which is 10.74 per cent of his total traded quantity in the said scrip. According to Sebi, Gupta's "trading in the scrips of Riba Textiles Ltd and Winsome Textile Industries Ltd has led to false and misleading appearance of trading in the scrips".
The market regulator had conducted a probe into the trading in the scrips of Riba Textiles and Winsome Textile Industries for the period January 1 - August 31, 2009. It was noted from the findings of the investigation report that price as well as volume in the two companies scrips increased significantly during the investigation period as compared to pre-investigation period.
