The Supreme Court on Friday dismissed an appeal by the man the markets called the latter-day ‘Big Bull’— Ketan Parekh.
Parekh had moved the SC against an Securities Appellate Tribunal (SAT) order upholding the Sebi decision to ban him for his alleged involvement in price manipulation in the capital market during 1999 and 2000.
“All the appeals of Ketan Parekh against upholding of Sebi orders against him by SAT, including the ban from the capital markets, were dismissed by the Supreme Court,” Sandeep Parekh, legal Advisor to Sebi told the Hindustan Times.
On July 14, 2006, SAT upheld the Sebi order banning trader Ketan Parekh and eight associates from dealing in the securities market for 14 years. Parekh and his associates were found guilty of price manipulation in several shares.
The SC appeal pertained only to the ban on Ketan Parekh and other orders against him.
In its order, SAT said, “The appellants (Ketan Parekh and eight associates) have rigged the market in a big way and the penalties imposed on them are quite reasonable having regard to the gravity of the charges proved.”
Thorough its order dated December 12, 2003, Sebi banned Ketan Parekh and his associates for 14 years for manipulating the prices of Zee Tele, Himachal Futuristic Communication (HFCL), Global Trust Bank and Lupin, some of which were among the stocks famously known as K-10 stocks.