ASHIKA STOCK BROKING LIMITED Vs. SECURITIES AND EXCHANGE
LAWS(SB)-2011-9-3
SECURITIES APPELLATE TRIBUNAL
Decided on September 12,2011

Appellant
VERSUS
Respondents

JUDGEMENT

N.K.Sodhi, Presiding Officer (Oral) - (1.) THIS appeal is directed against the order dated July 19, 2011 passed by the whole time member modifying the ad -interim ex -parte order issued against the appellant. By an ex -parte order dated December 2, 2010, the appellant which is a stock broker had been restrained from taking new clients and for executing proprietary trades pending investigations. The investigations are still going on. By the impugned order, the whole time member has modified his earlier order and allowed the appellant to take on fresh clients but the restraint order regarding proprietary trades is continuing. During the course of the hearing, the appellant states that it is willing to furnish an undertaking in writing to the respondent Board that it shall not buy, sell or deal in securities on its own / proprietary account pending further orders in the proceedings before the Board. If such an undertaking is furnished within a week from today, the direction issued to the appellant in paragraph 28(c) of the impugned order shall stand vacated. This course is being adopted having regard to the peculiar facts and circumstances of the present case. The Board is directed to conclude the investigations expeditiously. It is made clear that the furnishing of the undertaking and the acceptance thereof by the respondent Board shall be without prejudice to the rights of the parties. The learned senior counsel appearing for the appellant informs us that his client is holding some shares as margin and that if a need arises to dispose of those shares, liberty may be reserved to the appellant to apply in that regard. Liberty as prayed for. The appeal stands disposed of as above with no order as to costs.;


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