April 22, 1998
PR No. 84/1998

SUSPENSION OF SHRI PANKAJ N. PATEL, MEMBER VADODARA STOCK EXCHANGE 
AND SHRI ATUL KRISHNAKANT DALAL, MEMBER AHMEDABAD STOCK EXCHANGE

Investigation Enforcement and Surveillance. 

TEXT

SEBI conducted enquires about the abnormal price rise and alleged price rigging in the scrip of M/s. Reliable Finstock Limited on the Stock Exchanges between mid- May and mid -June 1995 from Rs.32/- to Rs.185/-. Investigations revealed that shares of M/s. Reliable Finstock Ltd were cornered by certain entities through Shri Atul Krishnakant Dalal Member Ahmedabad Stock Exchange and Shri Pankaj N Patel Member Vadodara Stock Exchange for the purpose of price manipulation which lead to upsetting and distorting the market equilibrium; modus operandi adopted by these brokers & their clients for these transactions were both unusual and dubious. They resorted to issue contract notes in the name of fictitious entity. Pursuant to the submission of investigation report an Enquiry officer was appointed in respect of Shri Atul Krishnakant Dalal Member ASE and Shri Pankaj N Patel Member VSE. On the basis of the report submitted by the inquiry officer, a show cause notice was issued under the SEBI (Stock Broker and Sub Broker , Regulation 1992 to Shri Atul Krishnakant Dalal and Shri Pankaj N. Patel. After considering the material on record, submission made from time to time and reasons given in the Enquiry report, SEBI found him guilty of violating SEBI (Stock Broker and Sub Broker) Regulations 1992. An order has been passed suspending the aforesaid members for a period of 2(two) years the Suspension shall come into effect from April 27, 1998.