RAMPANT INSIDER TRADING IN ALL TAKEOVER CASES

CA. Arun Goenka
703 Meadows, Sahar Plaza, Andheri-Kurla Road, Andheri (E)
Mumbai 400 059 Phone& Fax 2838 1348
Email:goenkaarun@gmail.com


Lptp/MYDOC/takeover

1 September 2009

To,

Shri C.B. Bhave,
The Chairman
SEBI
SEBI Bhavan, 3rd Floor, B Wing,
Plot No. C-4A, G Block
Bandra Kurla Complex
Mumbai: 400051


Dear Sir,


Ref. Open Offer of CCAP Ltd..

The PA for the above referred Open Offer was announced on 06-Aug-09. As in the past so many cases this again is a glaring example of “INSIDER TRADING” The 26 week average is given in the PA as 19.52 and 2 week average as 43.46. The Open offer price is Rs.80. It is very clear that only some insider who were aware of the ensuing open offer at a high rate of Rs.80 were cornering the shares before the PA was made. This certainly calls for investigation into the trades done before 3 months of the date of the PA.

There is also a very interesting statement in the PA . Clause 1.4 (d) talks about a “written undated” resignation letters of Directors. Such undated documents apart from being undesirable are also illegal.

Shall be obliged to hear from you at the earliest.


Yours truly,

Arun Goenka




CA. Arun Goenka
703 Meadows, Sahar Plaza, Andheri-Kurla Road, Andheri (E)
Mumbai 400 059 Phone& Fax 2838 1348
Email:goenkaarun@gmail.com


Lptp/MYDOC/takeover

2 September 2009

To,

Shri C.B. Bhave,
The Chairman
SEBI
SEBI Bhavan, 3rd Floor, B Wing,
Plot No. C-4A, G Block
Bandra Kurla Complex
Mumbai: 400051


Dear Sir,


Ref. Open Offer of Maytas Infra Ltd..

The PA for the above referred Open Offer announced today Kindly note the following:

1) 1. PA Shows a 26 week average as Rs. 61.50 and 2 week average as Rs. 93.53 i.e. more than 50% higher. The Open offer price is Rs.112.80. As in the past so many cases this again is a glaring example of “INSIDER TRADING” It is very clear that only some insider who were aware of the change in control & management and ensuing open offer at a high rate were cornering the shares before the PA was made. This certainly calls for investigation into the trades done before 3 months of the date of the PA. If the menace of “INSIDER TRADING” has to be stopped, this case must be investigated in detail.
2) The Offer is under Regulation 10 & 12. Regulation 10 will be attracted on the day more than 15% shares/ voting rights came under the control of the Acquirer. It seems that this date is December 24, 2008
3) The price paid @ 112.80 by IL&FS to IFIN should be of no consequence for the Open offer. This is a private transaction between 2 Aquirers/PAC. Why this is mentioned in Clause (30)( I ) is not clear
4) The PA lacks complete details of the background of the transaction-
(a) what are the complete terms of Loan Against Shares agreement.
(b) Did the Acquirer have a Power of Attorney(PoA) from the pledgor ?
(c) The Acquirers must have stepped into the shoes of the Pledgor on default- what is this date
(d) when was pledge invoked?
(e) Details of CLB order especially --‘IL&FS shall foreclose its rights on 22.51% equity shares’. --Clause (10) of PA
(f) How was this possible for IL&FS to have a right on 37.01% shares without attracting Open offer?


Shall be obliged to hear from you at the earliest.


Yours truly,

Arun Goenka


































Lptp/MYDOC/takeover

7 September 2009

To,

Shri C.B. Bhave,
The Chairman
SEBI
SEBI Bhavan, 3rd Floor, B Wing,
Plot No. C-4A, G Block
Bandra Kurla Complex
Mumbai: 400051


Dear Sir,


Ref. Open Offer of Uttam Galva Steels Ltd..

The PA for the above referred Open Offer was announced on 07-Sept.-09. As in the past so many cases this again is a glaring example of “INSIDER TRADING”

The 26 week average is given in the PA as 47.93
and
2 week average as 97.82. i.e. more than double.

The Open offer price is Rs.120. It is very clear that only some insider who were aware of the ensuing open offer at a high rate of Rs.120 were cornering the shares before the PA was made. This certainly calls for investigation into the trades done before 3 months of the date of the PA.


Shall be obliged to hear from you at the earliest.


Yours truly,

Arun Goenka









Lptp/MYDOC/takeover

10 September 2009

To,

Shri Mr. Deb Kumar Sett,
Company Secretary & Compliance Officer,
Sumedha Fiscal Services Ltd.
Kolkata,


Dear Sir,


Ref. Open Offer of CCAP Ltd. Your letter dt. Sept.8, 2009


Your reply to my E-mail dated 01.09.09 is completely out of context and devoid of any material statement on the issues raised. There are 2 simple points:

a) Prima facie it appears that there has been “INSIDER TRADING” . People with advance information seem to have started buying the shares before the information came to public domain. The 26 week average is given in the PA as 19.52 and 2 week average as 43.46. ------Your response—not a word about “INSIDER TRADING”
b) The PA . Clause 1.4 (d) talks about a “written undated” resignation letters of Directors. Such undated documents apart from being undesirable are also illegal. The undated letter means that it can be used to manipulate the fact. If the person has resigned, put a date to it. Or else you will put a past date later on to manipulate the fact to suit your requirement. I am amazed at your audacity.

I simply wanted to bring such facts to the knowledge of persons whose prime responsibility is to stop “INSIDER TRADING” & enforce lawful conduct in the capital market.


Yours truly,

Arun Goenka












Lptp/MYDOC/takeover

15 September 2009

To,

Shri C.B. Bhave,
The Chairman
SEBI
SEBI Bhavan, 3rd Floor, B Wing,
Plot No. C-4A, G Block
Bandra Kurla Complex
Mumbai: 400051


Dear Sir,


Ref. Open Offer of Mathew Easow Research Securities Ltd.

The PA for the above referred Open Offer was announced on 03-Sept.-09. As in the past so many cases this again is a glaring example of “INSIDER TRADING”

The 26 week average is given in the PA as 8.59
and
2 week average as 16.08. i.e. almost double.

The Open offer price is Rs.19. It is very clear that only some insider who were aware of the ensuing open offer at a high rate of Rs.19 were cornering the shares before the PA was made. This certainly calls for investigation into the trades done before 3 months of the date of the PA.

Sir, in case the menace of “INSIDER TRADING” is to be stopped, SEBI must strong action immediately. You have all the prima facie evidences available – significant Jump in prices ahead of major announcement.

Shall be obliged to hear from you at the earliest.


Yours truly,

Arun Goenka