Sebi bans Yashraj Containeurs, Ritesh Properties from mkts

Regulator Sebi has barred Yashraj Containeurs and its promoter entities from the capital market for five years for indulging in fraudulent trading and insider trading violations.
According to Sebi, Yashraj Containeurs and its three promoters -- Jayesh Valia, his wife Sangeeta Valia and Vasparr Shelter (a group firm of Yashraj Containeurs) -- had concealed the information related to their shareholding.
Vasparr Shelter, which held substantial stake in Yashraj Containeurs in September 2005- December 2006, belonged to Jayesh Valia family and was under the same management as that of Yashraj Containeurs. However, shareholding of Vasparr Shelter was not disclosed in the promoter shareholding category.

Further, the company clubbed several positive announcements and disclosed them at the same time, which resulted in increase of the price of the scrip in a very short period, thereby violating the regulator's Prohibition of Fraudulent and Unfair Trade Practices (PFUTP) norms.
"The entities belonging to the promoter group took advantage of this impact on price and sold part of their shareholding. Thus, the acts of the noticees clearly created false and misleading appearance of trading in the shares of Yashraj Containeurs", Sebi said.
Also, Yashraj Containeurs provided misleading information regarding its corporate earnings for the financial year 2005- 06.

Sebi further said that Jayesh Valia, who was also the director of Yashraj Containeurs, his wife and Vasparr Shelter had traded in shares of Yashraj Containeurs, while in possession of unpublished price sensitive informaion.

Accordingly, the regulator barred Yashraj Containeurs and three other entities for five years for violating the provisions of PFUTP and Prohibition of Insider Trading (PIT) norms.
In another case involving Ritesh Properties, Sebi found that the company provided misleading information about its projects and transfer of shares.
The company made false public announcements regarding expansion of its business plans, provided misleading financial statement in connection with sale of a flat and misrepresented the operations and turnover of the company.

This, as per the regulator, amounted to manipulating the price of its shares and mislead the gullible investors.
Finding them in violation of the PFUTP Regulations, Sebi has barred Ritesh Properties and and its Chairman and Managing Director Sanjeev Arora and two others for three years.