SEBI v. Sureshkumar Parmar and others (Premier Synthetics Limited circular trades, 2024)

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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In September 2024 a SEBI adjudicating officer penalised 22 individuals for circular trading in the shares of Premier Synthetics Limited between 2017 and 2018, which created artificial volume, and in some cases for lifting the last traded price. Penalties totalled Rs 1,49,00,000, and the case against one noticee was abated.

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

14.9m 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 adjudicating officer, N. Hariharan, issued the order on 30 September 2024. It names 23 noticees, mostly individuals from Gujarat: Sureshkumar Parmar, Makwana Falgun, Mehulkumar Balvantbhai Tundiya and others, twelve of whom are listed here. Premier Synthetics Limited is listed on BSE. SEBI investigated trading from November 2017 to October 2018 after complaints about text messages urging purchase of the shares.

SEBI alleged that noticees 1 to 15 and 17 to 23 created a false appearance of trading by circular trades without intending to change ownership, creating artificial volume, in breach of section 12A of the SEBI Act and the fraud and unfair trade practice regulations. It further alleged that noticees 1 to 16 manipulated the price by trading among themselves to push up the last traded price. Noticees 2 to 23 were also alleged to have ignored summons and requests for information issued under section 11C.

The order imposed penalties under section 15HA for the trading violations and under section 15A(a) for the failure to comply with summonses. Total penalties ranged from Rs 6,00,000 to Rs 9,00,000 per noticee, Rs 1,49,00,000 for the 22 noticees against whom penalties were imposed. The adjudicating officer abated the proceeding against noticee 20, Dharmeshbhai J. Vaghela, without going into the merits.

The order imposed monetary penalties only; no restraint from the securities market is recorded. The text messages that triggered the inquiry are background, not the charge.

The record does not show who organised the trading, whether any gains were quantified, whether any penalty was paid or appealed, or whether any criminal case followed.

This library tags the matter as wash trading 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.

• Wash trading — 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. 2024-09-30 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
• Order (PDF)

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.