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2020 (1) TMI 1487 - AT - SEBIUnfair trade practices - Ingenuine trading of shares - Manipulation of price scrip - charge of raising price artificially - violation of Regulations 3 and 4 of Securities and Exchange Board of India (Prohibition of Fraudulent and Unfair Trade Practices relating to Securities Market) Regulations, 2003 - orders restraining the appellant from accessing the securities market - miniscule shares were being sold by the appellant when there was demand for more shares and the appellant had a substantial holding in that share and thus the motive was to increase the price of the scrip - charge leveled against the appellant is, that it had contributed to the positive last traded price (LTP) as a seller and that the trades made by the appellant were not genuine which resulted in manipulation in the price of the scrip known as Jolly Plastic Industries Ltd. thereby creating misleading appearance of trading in the scrip of the Company - HELD THAT:- We are of the opinion that controversy involved in the present case is squarely covered by the decision of this Tribunal in Appeal no.97 of 2019 Nishith M. Shah HUF vs. SEBI [2020 (1) TMI 1485 - SECURITIES APPELLATE TRIBUNAL MUMBAI] We are of the opinion that against the charge of raising price artificially one has to establish the element of collusion between the buyer and the seller which in the instant case is absent. On a query raised by us we were informed that only one buyer had been prosecuted but we had been further informed that the said buyer did not purchase it from the appellant. Thus, there is no connection between the appellant as a seller with any buyer. In the absence of element of collusion between the buyer and the seller the charge cannot be established - orders restraining the appellant from accessing the securities market cannot be sustained. - Appeal allowed.
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