The Securities and Exchange Board of India (Sebi) on Saturday directed Investsmart Financial Services (IFSL) not to dispose or transfer shares belonging to Pacific Corporate Services Ltd (PCSL), an entity banned in December along with stock market operator, Sanjay Dangi, for rigging share prices.
The regulator said it had found PCSL transferred certain shares from its accounts to IFSL after the Sebi’s December 2 order was uploaded on the website, but prior to the account being put in freeze.
A part of such holdings was subsequently sold by IFSL trading to its own account through its broker, HSBC Invest Direct Securities (India) Ltd, on December 3 and December 6. Net sales proceeds amounted to Rs 39.39 crore. “It is observed that shares amounting to approx Rs 164 crore are still lying in the said account of IFSL,” Sebi said.
Sebi said the purpose and other attendant circumstances relating to these transfers would be investigated.
