(FE)
The Securities and Exchange Board of India (Sebi) on Tuesday imposed a fine of Rs 1 crore each on Pradeep Pandya, former CNBC Awaaz markets editor, and Alpesh Vasanji Furiya, a technical analyst, for engaging in fraudulent trading practices. The duo, along with six other entities, have been barred from the securities market for five years. The six other entities — Alpesh Furiya (HUF), Alpa Furiya, Manish Furiya, Manish Furiya (HUF), Mahan Investment, and Toshee Trade — have been fined Rs 10 lakh each.
Alpesh Group entities used to carry out fraudulent trades in synchronisation with the stock recommendations given by either Pradeep Pandya or Alpesh Furiya on CNBC Awaaz, positioning themselves in an advantageous position before the information became public knowledge, the markets regulator said.
“This behaviour not only demonstrates a clear intent to leverage insider information but also reveals a systematic approach to exploiting the information asymmetry for personal gain,” Sebi said. The regulator noted that “the present case is similar to a classical front running case where a trader tries to take advantage of the expected price change resulting from an impending transaction in securities.”
