India, March 15 -- Markets regulator Sebi has levied a total penalty of over Rs 27 lakh on five entities for fraudulent and manipulative trading in illiquid stock options on BSE.
Jahangirabad Finance Co Pvt Ltd, Renesola India Pvt Ltd, Rakesh Garg, Rattan Ispat Pvt Ltd and Ritman Commodities are the entities facing action, as per separate orders by the regulator.
Sebi conducted an investigation into the trading activity in illiquid stock options on BSE from April 2014 to September 2015 after observing large-scale reversal of trades in the bourse's stock options segment.
The regulator observed that the entities placed buy and sell orders in a synchronised manner within seconds of each other and reversed the trades within a short time with...