Mumbai: In a long-running legal battle spanning over a decade, a special court established under the Securities and Exchange Board of India (Sebi) Act convicted Ghatkopar-based Rijuta Finvest Pvt Ltd and its directors, Dinesh Doshi and Anil Doshi, for failing to provide crucial information to market regulator Sebi during a probe into alleged share price manipulation. The attempts of the accused to blame the now-deceased stockbroker, Harshad Mehta, did not help their defence. The company and the Doshis were sentenced to pay a fine of Rs 2 lakh each.The verdict, delivered by Sebi Special Judge R M Jadhav on Tuesday, June 10, marked the culmination of a case first registered on July 9, 2014, with charges framed in early 2017. Proceedings against two other accused directors, Vinod Shah and Dilip Shah, were abated due to their death during trial.The case originated from Sebi’s investigation into alleged price manipulation in the shares of BPL Ltd, Videocon International Ltd, and Sterlite Industries Ltd during April-June 1998. The market regulator noted a “large volume coupled with abnormal price movement” in these shares and identified that several brokers were dealing on behalf of a common set of clients, including Rijuta Finvest.Sebi submitted that it repeatedly issued summons to Rijuta Finvest and its directors starting July 2, 1998, demanding the production of specific information and documents. Despite initial appearances and assurances from the accused, including statements recorded under oath, the details and records were not furnished.A showcause notice was issued on Aug 25, 1998, warning of prosecution under the Sebi Act. Rijuta Finvest responded, stating its books of account were under preparation. Even after this, Sebi continued its efforts, issuing further summons in Dec 1998 and Jan 1999, but the required information remained elusive. The prosecution contended this was a “deliberate attempt” by the accused to withhold information, causing “severe hindrance” to the investigation process. The accused maintained their innocence throughout. While convicting them, the judge considered the plea for leniency, taking into account the age and health of the directors. The judge acknowledged both “are old age persons”. It was noted that Anil Doshi is suffering from prostate cancer and Dinesh Doshi from liver cancer.Mumbai: In a long-running legal battle spanning over a decade, a special court established under the Securities and Exchange Board of India (Sebi) Act convicted Ghatkopar-based Rijuta Finvest Pvt Ltd and its directors, Dinesh Doshi and Anil Doshi, for failing to provide crucial information to market regulator Sebi during a probe into alleged share price manipulation. The attempts of the accused to blame the now-deceased stockbroker, Harshad Mehta, did not help their defence. The company and the Doshis were sentenced to pay a fine of Rs 2 lakh each.The verdict, delivered by Sebi Special Judge R M Jadhav on Tuesday, June 10, marked the culmination of a case first registered on July 9, 2014, with charges framed in early 2017. Proceedings against two other accused directors, Vinod Shah and Dilip Shah, were abated due to their death during trial.The case originated from Sebi’s investigation into alleged price manipulation in the shares of BPL Ltd, Videocon International Ltd, and Sterlite Industries Ltd during April-June 1998. The market regulator noted a “large volume coupled with abnormal price movement” in these shares and identified that several brokers were dealing on behalf of a common set of clients, including Rijuta Finvest.Sebi submitted that it repeatedly issued summons to Rijuta Finvest and its directors starting July 2, 1998, demanding the production of specific information and documents. Despite initial appearances and assurances from the accused, including statements recorded under oath, the details and records were not furnished.A showcause notice was issued on Aug 25, 1998, warning of prosecution under the Sebi Act. Rijuta Finvest responded, stating its books of account were under preparation. Even after this, Sebi continued its efforts, issuing further summons in Dec 1998 and Jan 1999, but the required information remained elusive. The prosecution contended this was a “deliberate attempt” by the accused to withhold information, causing “severe hindrance” to the investigation process. The accused maintained their innocence throughout. While convicting them, the judge considered the plea for leniency, taking into account the age and health of the directors. The judge acknowledged both “are old age persons”. It was noted that Anil Doshi is suffering from prostate cancer and Dinesh Doshi from liver cancer.