INVESTIGATION, ENFORCEMENT AND SURVIELLANCE DEPARTMENT

M/s. Ladam Finance Ltd. came out with its maiden Public Issue for 38 lacs equity shares of Rs.10/- each during February 1995. An investigation was conducted by SEBI into the affairs of M/s. Ladam Finance Ltd. as complaint was received alleging that around 33 lacs shares of M/s. Ladam Finance Ltd. were reported lost. Investigations prima facie revealed that the aforesaid shares were actually traded on the stock exchange. Investigations revealed that Jain Corporate Services had cornered the floating stock and has been instrumental in disturbing the market equilibrium. Shri Vipul R. Kedia and Vruddhi Securites have dealt actively in the scrip. Persuant to investigations a show cause notice were issued to M/s. Jain Corporate Services, Vipul R. Kedia and Vruddhi Securities Ltd. and an opportunity for personal hearing was granted. Based on documents and evidence and record, SEBI has issued directions against the aforesaid entities debarring them from accessing the capital market and also restraining them from dealing in securities in any manner for a period of five years.