T.M.Nagarajan, - (1.) BROTHER Credit and Investments Pvt. Ltd. (hereinafter referred to as "the said broker") was a member of OTC Exchange of India (hereinafter referred to as "OTCEI") and a stock broker registered with the Securities and Exchange Board of India (hereinafter referred to as "SEBI") under certificate of registration No. INB 200897636.
(2.) OTCEI, vide its letter dated 26.12.03, informed SEBI that they had expelled the said broker w.e.f. 22.12.03 and it ceased to be a member of OCTEI w.e.f. 22.12.03. In view of the above, SEBI, vide order dated 21.01.04 appointed an Enquiry Officer under the SEBI (Procedure for holding Enquiry by Enquiry Officer and Imposing Penalty) Regulations, 2002 (hereinafter referred to as "Enquiry Regulations") to hold an enquiry under Chapter III of the Enquiry Regulations.
(3.) THE Enquiry Officer, acting in accordance with regulation 16 (2) of the Enquiry Regulations issued show cause notice to the said broker on 08.03.04 advising it to show cause why its registration as a stock broker should not be cancelled. THE said broker failed to reply to the said show cause notice.;