Hemant Ghai case: Repeated pattern on 90 occasions with Rs 100 cr traded value, says SEBI

New Delhi, Jan 15 : The investigation by SEBI into the alleged manipulative trading by former CNBC Awaaz anchor Hemant Ghai found that the “repeated pattern carried out on 90 occasions aggregating gross traded value of over Rs 100 crore rules out that it can be due to coincidence.” The Securities and Exchange Board of India (SEBI) investigation found that where the first buy leg of the trades is executed just one day prior to recommendation day, it is prima facie observed that Hemant Ghai must have been aware of the buy recommendation that was going to be given the next day on the show, which gave him the confidence to execute/facilitate the buy position in the trading accounts of Jaya Hemant Ghai and Shyam Mohini Ghai again and again.
“This repeated pattern carried out on 90 occasions aggregating gross traded value of over Rs 100 crore rules out that it can be due to coincidence. The trading behaviour of the entities reflecting great confidence and incentive to trade in the pattern as discussed above shows that Hemant Ghai was having advance information of buy “recommendation”, the SEBI order said.
Ghai was sacked by his employer after the SEBI order came out.
On a query raised to MAS Consultancy with respect to the placement of orders in the trading accounts of Jaya Hemant Ghai and Shyam Mohini Ghai, the Trading Member vide its email dated November 7, 2020, has submitted that clients Jaya Hemant Ghai and Shyam Mohini Ghai have placed orders during the period January 1, 2019 to March 30, 2020 by visiting the Branch.
Along with the said email, the Trading Member has provided certain copies of ‘Order Instruction Register’, with the order details signed by the respective clients.