Mumbai : In a fresh crackdown on alleged tax evasion through stock markets, regulator Sebi banned a high networth individual B P Jhunjhunwala for fraudulently inflating the share price of a dormant company with a “facade” of investment worth around Rs 15.4 crore.
The latest order involves fictitious trades in shares of First Financial Services, which along with its directors and other connected persons have already faced Sebi action for similar fraudulent activities.
In its probe, the Securities and Exchange Board of India found that the share price of First Financial rose by 5160% (53 times) in 115 trading days when the average trading volume was only 26 shares per day.
