SEBI Issues High-Value Demand Notice Against Individual Over DU Digital Trading Activities
The Securities and Exchange Board of India (SEBI) has issued a formal Notice of Demand against Dhaval Girishbhai Parmar regarding alleged irregular trading activities in the scrip of DU Digital Technologies Limited, now known as DU Digital Global Limited. The notice, dated 25/06/2026, outlines the significant dues owed to the regulator from Mr. Parmar for non-compliance related to these trading activities.Details of SEBI’s Demand Notice
The notice specifies that a total sum of ₹6,37,000/- is due to SEBI. This amount encompasses the penalty imposed by the Quasi-Judicial Authority, accrued interest, and associated recovery costs.A detailed breakdown reveals the following components:
- Penalty imposed by the Quasi-Judicial Authority dated 31.12.2025: ₹6,00,000.00/-.
- Interest calculated from January 2026 to June 2026 at a rate of 1%p.m.: ₹36,000.00/-.
- Recovery cost: ₹1,000.00/-.
The total amount demanded is therefore certified at ₹6,37,000.00/.
Consequences of Non-Payment as per SEBI Regulations
SEBI has clearly outlined the stringent measures that will be invoked should the specified dues remain unpaid within 15 days of receiving the notice. The regulatory body reserves all rights to recover the amount through several severe legal actions.These potential recovery modes include:
- Attachment and sale of movable property.
- Attachment of bank accounts belonging to the defaulter.
- Attachment and sale of immovable property.
- Arrest and detention in prison.
- Appointing a receiver for the management of both movable and immovable properties.
Regulatory Focus on Asset Transfers
The notice also contains strong directives concerning any potential transfer of assets by the individual. As per Explanation 1 to Section 28A of the SEBI Act, any direct or indirect transfer of property or money held in bank accounts must be carefully noted.Such transfers made to a spouse or minor child, son's wife, or son's minor child, unless supported by adequate consideration, will be deemed as the defaulter’s own property for the purpose of SEBI recovery proceedings after December 31, 2025. Furthermore, Mr. Parmar is advised that he is not competent to mortgage, charge, or lease any personal property without explicit permission from the Recovery Officer.
Mechanism for Payment and Compliance
The notice mandates that the payment must be made through direct credit using EFT/NEFT/RTGS to a specified ICICI Bank account or via the SEBI website's dedicated payment portal. This emphasizes the formal and documented process required for compliance.In addition to the principal penalty, Mr. Parmar is liable for any further interest, costs, charges, and expenses incurred by SEBI in connection with the recovery proceedings against him. The Compliance details include a reference to Certificate No. 9172 of 2026 issued under Section 28A of the Securities and Exchange Board of India Act, 1992.
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