The National Stock Exchange of India (NSE) declared has Anugrah Stock & Broking as a defaulter and expelled it from the membership.
Anugrah Stock & Broking has been expelled from the membership of the exchange under Rules 1 and 2 of Chapter IV of the NSEIL Rules and has been declared as a defaulter under provision 1 (a) of Chapter XII of Exchange Bye-laws w.e.f. November 26, 2020, after the close of market hours, NSE said in a release.
“Anugrah Stock Broking is suspended till the completion of the inquiry proceedings,” the SEBI order said.
On November 13, markets regulator Securities and Exchange Board of India (SEBI) had ordered the scam-tainted broking firm to stop its operations and barred its promoters Paresh Kariya and Sadhana Kariya from the market.
The orders came on the back of an NSE forensic report that found the broker to have violated several market rules including misstatement about debtors and creditors, shortfall of client funds and securities, payments made to clients having running debit balances, and discrepancies in the maintenance of records.
The broking house is alleged to have illegally offered assured return schemes to its investors through which it lured several investors across India and eventually failed to meet its promises.
The broking house, its directors, Teji Mandi Analytics (an authorized person of the broking house), the directors of Teji Mandi Analytics and Om Sri Sai Investments were directed not to dispose of any assets.
