SEBI v. Nitinbhai Dalsukhbhai Chauhan and others (Manaksia Coated Metals synchronised 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 October 2024 a SEBI adjudicating officer penalised 15 individuals over synchronised trading and funding in the shares of Manaksia Coated Metals and Industries Limited during a 420 per cent price rise in late 2021. Penalties came to Rs 2,63,00,000 in total, with some noticees also penalised for ignoring summonses.

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

26.3m 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, Barnali Mukherjee, issued the order on 21 October 2024. It names 15 noticees, 12 of whom are listed here: Nitinbhai Dalsukhbhai Chauhan, Vora Kinal Ronak, Dharmik Chauhan and others, together with three further noticees who were alleged to have financed the trading. SEBI investigated trading in the shares of Manaksia Coated Metals and Industries Limited from September 2021 to February 2022.

The order records that the share price rose 420.52 per cent, from Rs 11.45 to Rs 59.60 over 91 trading days to 11 January 2022, and then fell 61.41 per cent by the end of February. SEBI alleged that noticees 1 to 12 entered fraudulent, synchronised trades during that rise, creating artificial volume and affecting the price, that noticees 13 to 15 funded the trades, and that some noticees did not comply with summonses.

The adjudicating officer found these violations of the fraud and unfair trade practice regulations established and noted that the records did not quantify gains or investor losses. She treated the non-compliance with summonses as repetitive, since noticees 1 to 4 ignored three summonses and noticees 5 to 7 two.

Penalties under section 15HA were Rs 15,00,000 on each of noticees 1 to 12, Rs 8,00,000 on noticee 13 and Rs 5,00,000 on noticees 14 and 15 jointly and severally. Noticees 1 to 7 were also penalised Rs 10,00,000 each under section 15A(a) for ignoring summonses. The total is Rs 2,63,00,000. No restraint from the market was ordered.

The record does not show the profits made, whether the order was appealed, whether the penalties were paid, or who ultimately controlled the arrangement. No criminal case is mentioned.

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. 2024-10-21 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.