SEBI Imposes Massive ₹2.7 Crore Demand on Firm and 17 Individuals for Price Manipulation in Quasar India Stock

SEBI Imposes Massive ₹2.7 Crore Demand on Firm and 17 Individuals for Price Manipulation in Quasar India Stock​

The Securities and Exchange Board of India (SEBI) has issued a stringent Notice of Demand against M/s Chandrima Mercantiles Limited and seventeen other individuals. The action relates to alleged price and volume manipulation concerning the scrip of Quasar India Limited. This regulatory move highlights SEBI's zero-tolerance stance on market misconduct.

The formal notice, dated 12/06/2026 and issued under Certificate No. 9155 of 2026, mandates a significant financial settlement from the designated parties. The enforcement action targets both corporate entities and individuals listed in the documentation for their alleged role in the market manipulation practices.

Breakdown of Financial Dues Imposed by SEBI​

The Notice details the specific composition of the demanded amount, which totals ₹2,70,01,000.00 (Rupees Two Crore Seventy Lakh One Thousand Only). This figure represents combined penalties, interest payments, and recovery costs incurred by SEBI in pursuing these proceedings.

A penalty amounting to ₹2,50,00,000/- has been jointly and severally imposed on M/s Chandrima Mercantiles Limited and all named individuals. The penalty stems from the Adjudicating Officer’s Order No. Order/AK/DS/2025-26/31761-31780, issued on 31.10.2025.

Furthermore, a substantial amount of ₹20,00,000.00/- has been levied as interest. This interest accrues from November, 2025 to June, 2026 at a rate of 1% per month. The recovery cost for the proceedings stands at ₹1,000.00/-.

Compliance Requirements and Payment Mechanism​

All named parties are required to remit the full demanded amount within fifteen days of receiving the notice. SEBI has prescribed specific methods for settling this substantial financial liability.

The payment must be made via direct credit through EFT/NEFT/RTGS into A/c No. SEBIRRDPEN9155 of ICICI Bank, IFSC code - ICIC0000106. Payments can also be completed through the designated "Recovery Payment" module on the sebi.gov.in website.

SEBI's Recovery Officer, Kirtikumar Jadhav, has been assigned to manage the recovery process. The formal notice was forwarded to the Recovery Officer at SEBl Bhavan-II in Bandra Kurla Complex, Mumbai.

Severe Consequences of Non-Payment and Default​

The Notice outlines a range of extreme measures that SEBI is prepared to implement should the specified dues not be settled within the stipulated timeframe. These actions are designed to enforce compliance across all parties involved.

If payment is defaulted upon, SEBI shall initiate recovery through several methods. These include the attachment and subsequent sale of both movable and immovable property belonging to the defaulters. Attachment and seizure of bank accounts are also among the potential recourse actions.

The most severe penalties listed involve arrest and detention in prison. Additionally, there is a provision for appointing a receiver to manage any properties associated with the defendants.

Restriction on Asset Dealing​

A critical advisory included in the notice restricts the capability of the named individuals and company regarding their assets. Upon service of this demand notice, neither M/s Chandrima Mercantiles Limited nor any of the involved persons are competent to mortgage, charge, lease or otherwise deal with any property they possess.

Any such transfer made under these circumstances will be deemed void as per Rule 16 of the Second Schedule to the Income-tax Act, 1961 read with Section 28A of the SEBI Act. This provision is designed to ensure that assets cannot be transferred or encumbered improperly during the recovery process.