SEBI v. Hexa Tradex Limited and others (alleged misleading financials, dismissed, 2026)
Dismissed
Checked against the primary document on October 8, 2026. The library's summary, tags and figures for this record were compared with the regulator's own document by an AI model (Claude) following written instructions, in a single reading of the order; an independent second reading of 60 SEBI records agreed on every field for 56, the four misses being penalty amounts. No lawyer has reviewed them. A checked record can still contain errors, and checked does not mean endorsed. See how we check records or report a correction.
In July 2026 a SEBI quasi-judicial authority disposed of a 2024 show-cause notice alleging that Hexa Tradex Limited and fourteen promoter-group persons and companies shifted its investments in a subsidiary to private group companies without proper process, making its financials misleading. It held that the allegations fail on preliminary points and on merits, with no directions or penalty.
The record
| Agency | SEBI (India) |
|---|---|
| Date filed | 2026-07-24 |
| Date resolved | 2026-07-24 |
| Court | SEBI executive director / chief general manager |
| Status | dismissed |
| Asset class | equities |
| Instruments | Hexa Tradex Limited shares |
| Venue | BSE |
| Criminal parallel | No |
| Defendants | Hexa Tradex Limited ; Prithvi Raj Jindal ; Sminu Jindal ; Pravesh Srivastava ; Arti Jindal ; Raj Kamal Aggarwal ; Kuldip Bhargava ; Virtuous Tradecorp Private Limited ; OPJ Trading Private Limited ; Sahyog Holdings Private Limited ; Siddeshwari Tradex Private Limited ; Sajjan Jindal |
| Techniques | Misleading issuer disclosure |
What was ordered
- Civil penalty
- —
- Disgorgement
- —
- Prejudgment interest
- —
- Total relief
- —
- Alleged gain
- —
What is alleged to have happened
The order of 24 July 2026 was made by a SEBI quasi-judicial authority after the Securities Appellate Tribunal, in December 2025, asked SEBI to give a reasoned order on a preliminary application by the noticees. Fifteen noticees are named: Hexa Tradex Limited (HTL), a listed company; Prithvi Raj Jindal, Sminu Jindal, Arti Jindal, Sajjan Jindal, Naveen Jindal, Shallu Jindal and Ratan Jindal; other directors and officers; and four promoter-group companies. Twelve are named here, and the rest are not.
The show-cause notice of 18 March 2024 was based on SEBI's view that HTL's holding in its subsidiary, Hexa Securities and Finance Company Limited, was divested in 2013-14 to promoter-group private companies without following due procedure, so that HTL's financial statements did not give a true and correct picture to investors. It alleged breaches of the SEBI Act, the SCRA, the PFUTP, listing and PIT regulations.
The noticees objected first to maintainability and delay, arguing that the notice came many years after the events. The order deals with those objections, with the case law on delay, and with the merits. It concludes that the allegations fail on some preliminary issues and that none of them stands on the merits or in law, citing the requirement of specific evidence of fraud and the Supreme Court's May 2026 decision in the Reliance Industries matter on inducement and intention.
The notice and the noticees' April 2025 application were disposed of without directions or penalty. No restraint, disgorgement or monetary sanction was ordered.
The record does not show whether SEBI has appealed. It describes no criminal case. As a dismissal, the allegations remain allegations only.
This library tags the matter as misleading issuer disclosure. The tagging is ours, not the regulator's.
For the regulator's own account of the facts, read the primary document linked above. This page deliberately summarises the structured record rather than reproducing the order.
What technique is this, and how does it work?
This action is tagged with one technique in our taxonomy. The tagging is ours: regulators charge statutory provisions, not technique names, so the mapping is an editorial judgement described in our editorial policy.
- Misleading issuer disclosure — see how it works, what statute it engages, and every other action tagged the same way.
Timeline
- 2026-07-24 SEBI order disposing of the notice
Primary documents
Everything on this page derives from the documents below. Where our summary and the primary document disagree, the primary document is right.
Related actions
Other actions in the library sharing at least one technique tag with this one.