IPO scam: Centurion Bank pays settlement charges

Accordingly, the applicant (Centurion Bank) without admitting or denying the charges has paid Rs 8 lakh towards settlement charges, said a SEBI order.

Consequently, the pending enquiry proceedings against the Centurion Bank stand was disposed of, SEBI said.

Fiat to Trivedi

SEBI also passed the final order against Mr Bhanuprasad D. Trivedi for his role in the IPO scam, restraining him from dealing in the securities market for one year.

The regulator didn’t accept the explanation of Mr Trivedi that it was a case of lending and borrowing, with no relationship or dealings with key operators or financiers.

SEBI observed that the timing and manner of movement of shares and funds from and to Roopalben Panchal (key operator) and Jayesh Khandwala (financier) cannot be associated with normal lending of money.

Further, there were back-to-back transfer of exact quantity of securities and funds among the three, and such transfers do not happen in the absence of any understanding among the parties, SEBI observed.

Mr Trivedi was part of the fraud to corner IPO shares of IDFC and Sasken Communication meant for retail investors and facilitated the financier to make ill-gotten gains, the SEBI order said, reports The Hindu Business Line.