SUBJECT : PRESS RELEASE

SEBI initiated investigations into the alleged price manipulation in the scrip of MKJ Developers Ltd., MKJ Enterprises Ltd. and Right Address Ltd. for the period January 05, 1998 to February 27, 1998 when price of the scrip had moved from Rs. 5/- to Rs. 60/- in all the three scrips. Investigations revealed that Shri Ashok Kumar Kayan, Member, Calcutta Stock Exchange Association Ltd., was the only broker dealing in these scrips in the trading period under investigation. Shri Kayan had dealt in the scrip in his own name and also for/in the name of his clients who were his close family members or employees. He had traded in the scrips in such a manner that none of his clients had any net settlement liability for the period under consideration. Therefore, it was concluded that circular trading was done with an intention to artificially jack up the prices of the scrips. 
 
SEBI appointed Enquiry Officer to enquire into the allegations in respect of Shri Ashok Kumar Kayan. On the basis of report submitted by the enquiry officer, show cause notices were issued to the member. The broker did not appear for the personal hearing before the chairman but admitted the charges apologising for the same. After considering the facts on records, SEBI has passed orders suspending the broker for a period of 3 months w.e.f August 27, 1999.