Ketan Parekh is in the news once again, one conspiracy after another has come to light and has rip-off Rs 65.77 crore with the help of a Singapore citizen entity Rohit Salgaocar.
Securities and Exchange Board of India(SEBI) has claimed with concrete evidence that Rohit Salgaocar, Who had access to collect non-public information was passing information about foreign investors to Ketan Parekh to drive these operations.
What Ketan Parekh did was to set up this illegal system along with 22 other entities Who used to notify him about investments by big foreign funds. After this KP formulate to front-run the market stocks by creating his stock broker strategy. The traders they focus on are institutional investors who deal in large amounts of stocks and are prone to pump and dumps.
His master plan involved circular trading with companies that invested most in the stocks, this was to artificially generate share volume in such companies. However, he was a stockbroker and also had CA, and even though he was one, he knew all the market tactics and information.
Accusation of Previous on this one:
Ketan was earlier jailed for manipulating the Indian stock market in 1998-2001 and was banned for 14 years till 2017. It is also being told that despite the ban, KP was illegally active in the market and doing scams in 2009 by using the identity of other entities. SEBI doubted that KP was indirectly active in the market, so they started the investigation again which went on from 1 Jan 2021 to 20 June 2023.
At that time, SEBI was not sure if Ketan was the culprit but investigations of the archives at his hideout in Kolkata revealed from the materials collected during a raid that he had registered multiple mobile phones. He used to execute his forbidden layouts using different names like Jack, John, Boss, Bhai, etc.
Recent turns
SEBI has also responded to this disturbance by taking legal action and they will be punished under the sections for all the crimes they have committed. Their bank accounts have been frozen. Ketan, Rohit, and Ashok Kumar Podder- involved in Ketan's illegal gains in Kolkata, have been prohibited from the market.
Ketan and 21 others linked to the scam, no now they cannot redeem their mutual fund investments as well. The swindle of around 66 crores that they played through front-running trades has been ordered to be impounded by SEBI which all the 22 scammers have to pay.
The investigation to determine the penalty is still ongoing and 21 days have been allotted to the parties concerned to support the case.
With inputs from agencies
Image Source: Multiple agencies
© Copyright 2024. All Rights Reserved Powered by Vygr Media.
Author's Profile:
Jyoti Saini, a graduate in Science, creates a variety of written objects including blogs, articles, scripts, and web content. Literally passionate about effective writing criteria where I present my expressions and thoughts with my write-ups and make them essential to readers. Extensive love for musical instruments, sketching, sports games as well as reading and researching. Enough proficiency in feature writing, accurate presentation, and tools intelligence.
