SEBI finds 4 non-genuine trades creating 9.6 lakh artificial units in Ajitnath Steels case

It details the procedural history and the Adjudicating Officer's decision to proceed ex-parte due to the company's non-response.

Who it concerns: Ajitnath Steels Pvt Ltd (PAN: AACCA7201N)

What SEBI found or ordered

• SEBI found that the Noticee executed 4 non-genuine trades in one stock option contract (AMBC15MAR270.00PE).
• These trades resulted in an artificial volume of 9,60,000 units.
• The alleged non-genuine trades constituted 16% of the Noticee's total trades in that contract and 100% of the volume it generated in that contract.
• The Adjudicating Officer noted that the Noticee did not reply to the Show Cause Notice or appear for hearings despite multiple opportunities.
• The case is being proceeded ex-parte, with allegations presumed admitted based on the lack of response.

Also in the document

• The investigation period covered April 1, 2014, to September 30, 2015.
• The specific trades occurred on March 16, 2015, involving counterparties Arihant Sharcom Private Limited and MAA Mahamaya Industries Ltd.
• The order notes that 14,720 entities were involved in similar non-genuine trades during the broader investigation period.