SEBI v. Maheshwari Financial Services Pvt Ltd and others (Yamini Investment Company, 2023)

Judgment entered

✓ 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; a later sample of 50 of the SEBI records added on 9 October agreed on every field for 46. 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.

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On 4 September 2023 a SEBI whole-time member found that a group of about 100 connected entities traded Yamini Investment Company shares to give 27 holders an exit at inflated prices. He restrained most noticees for two years and ordered Rs 40,23,38,434 disgorged by the 27 holders.

The record

What was ordered

Civil penalty

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Disgorgement

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Prejudgment interest

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Total relief

—

Alleged gain

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Penalty as published

800k INR

A dash means the release did not state a figure we could extract, not that the figure is zero. Penalty and disgorgement are stored separately so aggregates across the library do not double-count the same dollars. This regulator states penalties in INR. The figure is recorded as published and is not converted, so it does not appear in the USD totals or medians used elsewhere on this site.

What is alleged to have happened

A SEBI whole-time member issued this order on 4 September 2023 against 70 noticees in the matter of Yamini Investment Company Limited, a BSE-listed company. Most are companies and individuals alleged to belong to a trading network SEBI called the Madhur Group, after Madhur Buildcon, one of Yamini's promoters, together with 27 holders who received Yamini shares in a merger.

SEBI alleged that, after the 2015 merger of two unlisted companies, Anax and Fidelo, into Yamini, 2,455 holders got new shares, and 1,112 of them sold during the period examined. SEBI said 27 of those sellers were linked to the group and that 102 group entities, 14 of them said to have driven the price up and 29 acting as buyers, traded in ways that gave the 27 an exit at an inflated price, with heavy trading among themselves before a stock split.

The order finds the allegations established for the 27 allottees and for the connected entities who acted in concert to supply their exit, concluding the noticees devised a scheme to let the 27 sell. It computes wrongful gains by taking sale value less an assumed cost of Rs 1.25 a share. It found six counterparties not shown to be connected, and it cleared one separate noticee, Aamir Memon, because eight single-share buy trades without any link to other traders did not establish manipulation.

SEBI restrained 63 of the noticees from the securities market for two years, with two struck-off companies excluded, and directed the 27 allottees to disgorge their gains, totalling Rs 40,23,38,434, without interest. It imposed no separate penalty on those noticees because of the delay in concluding the case. Separately, it penalised two promoter entities Rs 3,00,000 and Rs 5,00,000 under section 15A(b) of the SEBI Act, Rs 8,00,000 in all, for filing their shareholding disclosures years late; that penalty is for the disclosure failure, not for manipulation.

The record does not show whether any noticee appealed, nor does it show any criminal case.

This library tags the matter as matched orders and price manipulation. 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 2 techniques 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.

• Matched orders — see how it works, what statute it engages, and every other action tagged the same way.
• Price manipulation — see how it works, what statute it engages, and every other action tagged the same way.

Timeline

1. 2023-09-04 SEBI order

Primary documents

Everything on this page derives from the documents below. Where our summary and the primary document disagree, the primary document is right.

• SEBI order

The linked release is published by the issuing regulator under its own terms. Our summary and narrative above are our own writing.

Related actions

Other actions in the library sharing at least one technique tag with this one.

Record added October 8, 2026. submit a correction.