The investigation revealed that Vikas Garg, the promoter and MD of V Marc India, along with former Whole Time Director Sandeep Kumar Srivastava, orchestrated the scheme by engaging Prijesh Kurani. Kurani utilized his and his connected entities' trading accounts, as well as those linked to Garg, to manipulate the stock. Funds were funneled through these entities to execute the fraudulent activities, which began when the company's shares were listed on April 8, 2021.
Sebi’s probe, which covered trading activities from April 9 to April 30, 2021, found significant evidence of manipulation. The regulator's examination was bolstered by data retrieved from Kurani’s mobile device, seized during a search operation in May 2022. The data included crucial WhatsApp messages and a signed agreement between involved parties, highlighting the coordinated effort to inflate the stock’s value.
As a result, Sebi has barred these entities from participating in the securities market, either directly or indirectly, until further notice. Alongside Garg, Srivastava, and Kurani, the ban extends to Sudhir Gupta, Dharini Kurani, Rekha Kurani, Surbhi Aggarwal, Vinod Vilas Sable, Seema Garg, Madhu Srivastava, Jai Kishore Singhal, and Seema Agarwal.
This decisive action aims to deter similar fraudulent practices and protect investors from market manipulation. The implicated individuals and entities are now subject to stringent regulatory scrutiny, with further investigations likely to ensure comprehensive accountability.
This case highlights Sebi’s rigorous enforcement measures and its ongoing efforts to uphold transparency and fairness in the securities market. The impact of such regulatory actions is expected to reinforce investor confidence and promote ethical conduct among market participants.