SEBI suspends Reliance Share and Stock Broking Pvt. Ltd

Dr. T. C. Nair, Whole Time Member, SEBI has passed an order dated December 11, 2006, suspending the certificate of registration of M/s. Reliance Share and Stock Broking Private Limited, member of the Bombay Stock Exchange Ltd. (BSE), National Stock Exchange of India Ltd. (NSE), Calcutta Stock Exchange (CSE), Vadodara Stock Exchange (VSE), Bangalore Stock Exchange (BgSE), Ahmedabad Stock Exchange (ASE) and Over The Counter Exchange of India (OTCEI) having Registration Numbers INB010607538, INB230607532, INB030607534, INB190607530, INB080607533, INB020634735 and INB200607538 respectively in the aforesaid Stock Exchanges for a period of four months with effect from January 01, 2007.

M/s. Reliance Share and Stock Broking Pvt. Ltd. will not be entitled to carry on the business as a stock broker with effect from January 01, 2007 to April 30, 2007.

The order has been passed after several violations by the company. Some of the violations reported in the order are as follows:- The company has failed to maintain proper books of accounts, failed to maintain sauda book, failed to issue contract notes at actual price at which transactions were executed, transferring / converting own trades into client trade, non-issuance of contract notes at rates the trade was executed, issuance of manual contract notes in order to pass on artificial prices to clients, contract notes not signed by authorized persons.

Source : Equity Bulls

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