Sebi imposes market ban against 22 entities

New Delhi: Market regulator Sebi has confirmed the securities market ban on 22 entities in a case related to manipulation of the share price of Sadhna Broadcast by way of uploading misleading videos on YouTube channels. In addition, the regulator restrained all the entities except Kundan Singh Bisht from dealing in the scrip of Sadhna during the pendency of an investigation and the total estimated amount of illegal gains through the alleged manipulation has been revised to Rs38.61 crore.

“I hereby confirm the directions issued vide the interim order dated March 2, 2023 read with confirmatory order dated July 20, 2023, subject to some modifications, the noticees except Kundan Singh Bisht are restrained from dealing in the scrip of Sadhna during the pendency of the investigation. The liability for the illegal gain made by Manish Mishra, Anshu Mishra and Dipak Dwiwedi individually shall stand modified,” Sebi’s Whole-Time Member Ananth Narayan G said in the order.

In March, the watchdog barred various entities in the case and the estimated illegal gains earlier were Rs41.85 crore. In a 125-page confirmatory order in the case with respect to 22 entities on Tuesday, Sebi refused to lift the ban on 21 of them.

“I find that the submissions of the noticees, except that of Kundan Singh Bisht, are insufficient to refute the prima facie conclusions drawn in the interim order. Consequently, the prima facie findings in the interim order dated March 2, 2023 that the noticees have engaged in a fraudulent and manipulative scheme, resulting in contravention of provisions of PFUTP (Prohibition of Fraudulent and Unfair Trade Practices) regulations, stand confirmed,” said Ananth Narayan G added.

The watchdog noted that the liability for the illegal gain made by each entity to this order shall be borne by them individually.