Date:23/12/2005 URL: http://www.thehindubusinessline.com/2005/12/23/stories/2005122301611500.htm

Back SEBI bans 9 finance cos for rigging in GCCL Infrastructure

Our Bureau

Mumbai , Dec. 22

THE Securities and Exchange Board of India has banned nine finance companies and one OCB (overseas corporate body) from accessing and dealing in the securities market for rigging in share prices of the Ahmedabad-based GCCL Infrastructure and Projects Ltd in 1996.

The share price of GCCL, which came out with its IPO for 20 lakh equity shares of Rs 10 each in October 1994, rose from Rs 25 in January 1996 to Rs 92 in June 1996 due to the alleged rigging.

The SEBI order by Mr G. Anantharaman, Whole-Time Member, also said none of the shares held by nine "non-traceable, fictitious and non-genuine" finance companies and OCB namely Ripple Securities & Services (P) Ltd, Honest Credit Capital Ltd, Promise Finance Pvt Ltd, Patel Securities & Stock Holdings (P) Ltd, Image Caplease Ltd, Pushkaravat Finlease Pvt Ltd, Upward Trend Equity Reserve Pvt Ltd, Reliable Wind Energy Ltd, Rishabh Securities Ltd and Willow Wood Corporation respectively, shall be traded or transferred in any manner.

Further, all these nine finance companies and one OCB are restrained from accessing the securities market and are prohibited from being associated with securities market to buy, sell or otherwise deal in securities in any manner, the order said.