SEBI alleges market manipulation in Evexia Lifecare shares, citing repeated small buy orders

This order details SEBI's adjudication proceedings against Bhavin Sureshbhai Thakkar for alleged market manipulation in the shares of Evexia Lifecare Limited (formerly Kavit Industries Ltd.) between August and November 2016. SEBI examined whether the individual used small, repeated buy orders to artificially inflate the stock price.

Bhavin Sureshbhai Thakkar (individual); Evexia Lifecare Limited (company, formerly Kavit Industries Ltd.)

• SEBI alleged violations of Section 12A of the SEBI Act and PFUTP Regulations 2003.
• Investigation period: August 11, 2016 to November 11, 2016.
• SEBI found the Noticee contributed 40.85% of the total market positive Last Traded Price (LTP) during the investigation period.
• SEBI observed that 179 of the Noticee's trades were single-share buy orders placed after sell orders were already available, contributing significantly to the price rise.
• SEBI alleged the Noticee contributed 37.80% of the New High Price (NHP) created during the period.
• Show Cause Notice (SCN) was issued on December 18, 2023.
• The Noticee argued the SCN was issued with 'inordinate delay' (approx. 7 years after the trades).

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