G.N.Bajpai, - (1.) SOUND Craft Industries Ltd. (herein after referred to as SIL) was incorporated on 22.01.1985 with Registered and Corporate Office at Narayan Building, 23, Lakhamshi Napoo Road, Dadar (East), Mumbai - 400 014. As per the Annual Report and other records submitted by the company, it has been stated that SIL is mainly engaged in the business of exporting diamonds, precious stones, granites, computer software and hardware (CD Roms), electronics etc., to the Middle East, West Asian and African Countries. Shri Rajkumar Chairai Basantani (hereinafter referred to as "Shri Basantani") is the chief promoter of SIL along with his wife Ms Seema Basantani. SIL was earlier known as SOUND Craft Marketing Products and Finance Limited.
(2.) As per the Distribution Schedule submitted to the Stock Exchange during the year 1999 - 2000, the Board of Directors of SIL comprised of the following persons: Name of the person Official relation ship with the company Shri Raj Kumar Chainrai Basantani Director/Chairman Smt. Seema R. Basantani Director Shri Vinod Hingorani Director SIL follows a July to June accounting year. As per the Annual Report of SIL for the financial year ended 30.06.2000, the Board of Directors of SIL are as follows: Shri Rajkumar C Basantani - Chairman Shri Haresh R Teckchandani - Whole- time Director Shri Sanjeev G Mansotra - Director Shri RC Sheopuri - Director Shri Vinod Hingorani - Director Dr. Swamy Pravin Karthikswamy - Director *Ms. Seema Basantani resigned from the Board during the year 2000. Shri Basantani is also the sole proprietor of M/s Rajkumar Chainrai Basantani, (hereinafter referred to as "the Member") individual trading member operating on the Capital Market Segment of the National Stock Exchange of India with effect from 05.10.1995 and has been operating from Mumbai and has no branches. As a part of market surveillance operations, NSE observed phenomenal rise in price and traded volumes in the scrip of SIL during the period December 1998 to July 1999. The closing price as on 22.12.98 was Rs. 265/- with average volume of 6, 171 shares. The scrip price moved upwards to touch Rs. 291 as on 31.12.1998. For the period 01.01.1999 to 09.02.1999, the price moved in the narrow band of Rs. 290 to Rs. 309. Thereafter, there was a steady movement in the scrip price and as on 05.03.1999, the closing price of SIL recorded at NSE was Rs. 339/-. At NSE, the scrip was in No Delivery from settlements 1999016N to 1999018N (i.e., from 21.04.1999 to 11.05.1999). SIL had come out with a 1:3 bonus during April 1999. The ex-bonus date for the scrip was 21.04.1999 and the record date for the bonus was fixed on 20.05.1999.
(3.) FOR the period 22.12.1998 to 31.12.1998 the average traded volume in the scrip at NSE was 6, 171 shares. FOR the period 01.01.1999 to 09.02.1999 the average traded volume in the scrip was 5, 896 shares. Thereafter, the volumes in the scrip suddenly showed increasing trend and as on 18.02.1999 the traded volumes in the scrip was 12, 100 shares. FOR the period February 1999 to March 1999, the average traded volume was in the range of 12, 000 shares. The volumes subdued during the 3rd week of March 1999 and for the period 10.03.1999 to 20.04.1999 the average traded volume in the scrip was 6, 165 shares. The volumes once again started increasing from the last week of April 1999 and to the later part of May 1999.;