SEBI bans TV anchor, family members for front running

Our Bureau Mumbai | Updated on January 13, 2021 Published on January 13, 2021

CNBC Awaaz TV anchor Hemant Ghai and his family members Jaya Ghai and Shyam Ghai have been barred by SEBI from dealing in stock markets on the charges of front running. SEBI found that the front running had earned Ghai and his family members ₹2.95 crore just through the limited number of trades examined during the relevant period.

SEBI issued the order in just around five months of its investigations. SEBI in its order observed that Ghai was hosting TV shows known as "Stock 20-20 Munafe Ki Taiyari Pehla Sauda and Kamai Ka Adda” (aired 7:20 am during Monday to Friday). SEBI observed that Jaya Ghai and Shyam Ghai undertook large numbers of ‘buy–today, sell–tomorrow’ (BTST) trades during the relevant period in synchronisation with the recommendations made in the show. Shares were bought on the previous day to the recommendations being made on the ‘Stock 20-20’ show and sold immediately on the recommendation day. The trades were done through an authorised person of Motilal Oswal Financial Services known as MAS Consultancy, Mehsana – Gujarat.

Trades were executed in the trading accounts of Jaya Hemant Ghai and Shyam Mohini Ghai which were prima-facie in violation of provisions of SEBI’s Prevention of Fraudulent and Unfair Trade Practices Regulations.

SEBI has directed the freezing of bank accounts of the Ghai family members involved in trading asked them from desisting in selling other assets too.

Meanwhile, the Network18 Group has terminated the service of Hemant Ghai with immediate effect, it said in a statement.

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Published on January 13, 2021
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