August 14, 2008
PR No. 154/2008

Consent orders in the matter of M/s. Nissan Copper Limited

A Panel comprising of Dr. T. C. Nair, Whole Time Member, SEBI and Shri M. S. Sahoo, Whole Time Member, SEBI has passed consent orders dated August 14, 2008 on application submitted by Rajeev Reniwal, Haryana Ship Breakers Ltd., Sanjeev Reniwal HUF, Shanti Sarup Reniwal, Shanti Sarup Reniwal HUF and Inducto Steel Ltd.(Reniwal Group), Venus Capital Management Inc, FII, and its two sub-accounts, ITF Mauritius and Vacuf Limited in the matter of M/s. Nissan Copper Limited in which the applicants are alleged to be involved in Fraudulent and Unfair Trade Practices relating to Securities Market, in accordance with SEBI Guidelines dated April 20, 2007 for consent orders. 
 
Upon noticing abnormal price rise in the share of Nissan Copper Limited (NCL), Securities and Exchange Board of India (�SEBI�) launched an investigation into dealings on the first date of listing of shares of NCL. Simultaneously, SEBI passed an ad interim ex parte Order dated January 17, 2007, inter alia, directing NSE and BSE to withhold the profits/gains of the applicants in a separate escrow account. Based on the findings of the investigations, it was alleged that subscription from the FII in the QIB portion of the IPO was pre-arranged. The FII along with sub accounts were assured exit on the first day of listing through structured transactions. This act of applicants appears to have distorted the prices in the market and seems to have benefited from this.
 
The High Powered Advisory Committee (HPAC) considered the facts and circumstances of the case, consent terms offered by the applicants, the material bought before the Committee and that it was for the first time that the applicants were involved in such impugned transactions. The HPAC accepted the profits/gains of Rs.9,52,90,137.90 (Rupees Nine crore fifty two Lakh ninety thousand one hundred thirty seven and ninety paisa only) from Reniwal Group and Rs. 2,35,58,673.55 (Rupees Two Crore Thirty Five Lakh Fifty Eight Thousand Six Hundred Seventy Three and Fifty Five Paise Only) from the FII and Sub accounts plus the interest accrued thereon as consent charges in the case. 

Mumbai,

August 14, 2008

For full copy of order submitted by RAJEEV RENIWAL, HARYANA SHIP BREAKERS LTD., SANJEEV RENIWALHUF,SHANTI SARUP RENIWAL, SHANTI SARUP RENIWAL - HUF AND INDUCTO STEEL LTD. click here.
For full copy of order submitted by VENUS CAPITAL MANAGEMENT INC., ITF MAURITIUS AND VACUF LIMITED click here.