Around 7,000 shares of Hindustan Lever Ltd (HLL) belonging to investor, A J Kelawala, have been fraudulently transferred from his demat account with the Stock Holding Corporation of India Ltd (SHCIL), Ahmedabad.
Since the HLL scrip is quoted at around Rs 190 at the stock exchanges, the resultant fraud is valued at over Rs 13 lakh.
Following a criminal complaint registered with the Ahmedabad metropolitan magistrate court No 9, Justice F U Khatri has ordered a police inquiry under Section 156 (3) of the Criminal Procedure Code, with instructions that the inquiry should be conducted by officers of police inspector or above cadre and the inquiry report should be submitted to the court within 30 days.
According to the complaint filed by A J Kelawala, his demat account number 15193031 with SHCIL had 8,620 shares of HLL as on May 7.
Out of this, 8,000 shares in two different lots of 1,000 and 7,000 shares were fraudulently transferred out on May 8 and 12, respectively.
The complaint filed with the metropolitan magistrate states that the statement received by the complainant Kelawala from SHCIL shows that the first lot of 1,000 shares were credited into the demat account of one Suresh Chopra held with depository participant SS Kantilal Ishwar Securities, Ahmedabad.
The second lot of 7,000 HLL shares were transferred to the demat account of one Bernard Mathias D'Cruz held with ICICI, Bandra, Mumbai.
However, on May 17, the 1,000 HLL shares transferred to Suresh Chopra were credited back into the demat account of the complainant through a reversal entry to that effect. This still leaves the account short by 7,000 shares.
According to Kelawala, the fraud came to light when he received a letter from SHCIL asking him to remit Rs 1,248 towards demat charges for transfer of 8,000 HLL shares.
Since he had not sold any HLL shares, he was surprised to learn about this transfer and hence contacted SHCIL.
The corporation in turn gave him copies of the counter foils of delivery slips, which were used to commit the fraud.
Kelawala has alleged in his complaint that though neither the signature nor the handwriting in the said delivery slips are his, SHCIL still effected the transfer thereby inflicting a loss of around Rs 13.30 lakh on him.
Moreover, the delivery slips used are not from the slip book given to him, he added.
Kelawala said he is compelled to file a criminal case before the metropolitan magistrate as SHCIL has not responded positively to his queries or complaints.
Kelawala has mentioned the names of SHCIL, SS Kantilal Ishwar Securities, Bernard Mathias D'Cruz and Suresh Chopra as accused in this criminal case.
Admitting that the fraud had taken place, SHCIL senior manager P K Shastri said: "We have informed our principals National Securities Depository Ltd (NSDL) about this development. We have also asked our client A J Kelawala to lodge an FIR so as to restrain further movement of those shares."
Then expressing his reluctance to disclose anything more, Shastri categorically stated, "We normally don't speak to the press in such matters."
