Sebi indicts Karvy over IPO misdeeds
Sebi indicts Karvy over IPO misdeeds, Securities and Exchange Board of India, Karvy Stock Broking. Stating that the depository participant "has already undergone such prohibition for 18 months and 26 days", SEBI has decided not to impose any further penalty.
Mumbai : Securities and Exchange Board of India (SEBI) has found that Karvy Stock Broking indulged in irregularities with respect to initial public offerings (IPO) of various companies, including Suzlon and IDFC, in 2005.
Stating that the depository participant "has already undergone such prohibition for 18 months and 26 days", SEBI has decided not to impose any further penalty. In its order on Tuesday, it said, "acts and conduct of Karvy Stock Broking are unfair and fraudulent" within the scope of regulations. It said the entity is liable to be prohibited from taking up any new assignment for a period of 18 months for its involvement in IPO irregularities. However, the regulator said that Karvy had already undergone such prohibition for 18 months and 26 days.
