In the matter of Himanshu Ajmera
Case brief
What is this about?
The Tribunal suspended the stock broker registrations of Mehta & Ajmera and partners for one year. It upheld findings of off-floor trading, circular trading by DSQ Software promoters, and failure to produce books during inspection, confirming violations of FUTP regulations and broker conduct codes.
What did the court decide?
Suspend Certificates of Registration granted to Himanshu Ajmera and Girish Mehta for a period of one year effective 21 days after the order.
SECURITIES AND EXCHANGE BOARD OF INDIA
ORDER
Order under Regulation 13 of the SEBI (Procedure for holding Enquiry by Enquiry Officer and imposing penalty) Regulations, 2002 against M/s. Mehta & Ajmera and Himanshu Ajmera
MO/70/IVD/3/04
1.0 Background
- 1.1 M/s Mehta & Ajmera (hereinafter referred to as “the firm”) was a partnership firm consisting of partners – Girish S Mehta and Himanshu Ajmera. Shri Girish S Mehta (Trade Name: Mehta & Ajmera), a member of the Calcutta Stock Exchange Association Limited (hereinafter referred to as “CSE”) holds a certificate of registration as a stock broker bearing No.INB030451228. Shri Himanshu Ajmera, also a member of CSE holds certificate of registration No. INB030451326. The firm has now been dissolved and the erstwhile partners have applied to the Securities and Exchange Board of India (hereinafter referred to as “SEBI”) for fresh registration. Shri Himanshu Ajmera has also been granted new certificate of registration No. INB031149611.
2.0 Inspection and Investigation by SEBI
- 2.1 An inspection of the books of account of the firm was conducted on 28.6.2002 and 9.9.2002. In their report, the inspecting officials from SEBI have stated that:
Issues for consideration
3 issues framed by the court
Whether the firm entered into off-the-floor transactions in contravention of SEBI and exchange directions.
Whether the firm created an artificial market for DSQ Software shares through matched/synchronised transactions.
Whether the recommended penalty should be imposed for the identified violations.
Parties & counsel
- applicant
SECURITIES AND EXCHANGE BOARD OF INDIA
- respondent
M/s. Mehta & Ajmera
- respondent
Himanshu Ajmera
- respondent
Girish S Mehta
Coram
Case details
As recorded by the court registry
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