SEBI suspends Credit Suisse First Boston (India) Securities Private Limited

The certificates of registration of M/s. Credit Suisse First Boston (India) Securities Private Limited bearing registration Nos. INB 230970637 and INB 010970631 have been suspended for a period of one month. The broker has been penalized for its omission to observe the Code of conduct as contained under Schedule II r/w Regulation 7 of Broker Regulation.

The order has been passed by Shri G. Anantharaman, Whole Time Member, SEBI on August 10, 2006 and shall come into force after the expiry of 21 days from the date of this order.

During the investigation period (June 01, 1999 to May 31, 2000) the scrip of SEAMECL was traded on BSE, NSE and Calcutta Stock Exchange (CSE). The price volume data of the scrip at the aforesaid three exchanges shows that the price of the scrip moved from Rs.15 to Rs.389 within a period of around 8 months. The total quantity traded during the relevant period at these exchanges was 5,24,52,600 shares. The investigation further revealed that during the investigation period, CSFB traded in the scrip of SEAMECL on behalf of M/s. C. Mackertich Limited (‘CML’- Member of NSE & BSE), M/s. Kallar Kahar Investment Limited ( ‘KKIL’- CSFB’s associate/group company), M/s. Milhill Investment Limited (Milhill) and in its own trading account.

Source : Equity Bulls

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