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Sebi asks depositories for K-10 stock details from '99

Ashwin J Punnen & Rakesh Sharma

Sebi has asked both the depositories to furnish month-wise shareholders' details from January 1999 to March 2001 in K-10 companies including Satyam, Ranbaxy, Pentamedia, Silverline and SSI Ltd.

The market regulator, probing the securities scam, has written to the National Securities Depository Ltd and the Central Depositories Services Ltd seeking details of the top 100 shareholders at the end of every month for the 27-month period in these scrips, in which Ketan Parekh was active.

It has also asked the depositories to provide details of the pledged shares of these companies in order to ascertain the extent of bank funds raised by them.

Sebi has also asked details of brokers dealing in these scrips, including specific details like their DP ID and clients' list with addresses.

This is the first time that the regulator has sought details of brokers and top shareholders of these companies from as far back as January 1999. In its preliminary investigation report submitted to the government, Sebi had relied mainly on trade details since mid-2000.

Interestingly, Sebi had earlier sought the details of foreign institutional investors trading in K-10 scrips for the last two years. But now Sebi seems to be trying for a broader perspective on the goings on in these scrips.

In the initial stages, Sebi had found that the operator was using a battery of brokers across exchanges and circumventing the exposure limits imposed by Sebi and the bourses. It also found that KP was using FII sub-accounts and OCBs to carry out large transactions.

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