SEBI finds 2,91,744 non-genuine BSE stock options trades in 2014-2015

The Adjudicating Officer proceeded ex-parte because the individual did not respond to notices or avail settlement schemes.

Who it concerns: Arjun Jagdish Dungarshi (PAN: AQOPD9781D)

What SEBI found or ordered

• SEBI observed that 2,91,744 trades (81.40% of BSE stock options trades) during April 2014 to September 2015 were non-genuine and created artificial volume.
• The Noticee was alleged to have executed 26 non-genuine trades in 4 stock option contracts, resulting in an artificial volume of 3,52,000 units.
• The Noticee was alleged to have violated Regulations 3(a), (b), (c), (d), 4(1) and 4(2)(a) of the SEBI (Prohibition of Fraudulent and Unfair Trade Practices) Regulations, 2003.
• The Noticee was offered two settlement schemes (2022 and 2024) but did not avail them.
• The Noticee did not appear for hearings or file a reply to the Show Cause Notice served via public notice in March 2026.
• The Adjudicating Officer presumed the charges were admitted due to the lack of response and proceeded ex-parte.

Also in the document

• The case was decided ex-parte based on the principle that non-response to a Show Cause Notice implies admission of charges, citing precedents from the Securities Appellate Tribunal.
• The investigation covered a period of over a year (April 2014 to September 2015) involving a significant portion of the BSE stock options segment.