Description

SEBI issued Recovery Certificate No. RC9043 of 2026 against Amit Shaw (PAN: BEJPS1492A) under adjudication proceedings A.P. Nos. 15295 & 15296 of 2026 in the matter of illiquid stock options manipulation on BSE.

Summary

SEBI has issued Recovery Certificate No. RC9043 of 2026 against Amit Shaw (PAN: BEJPS1492A) in connection with adjudication proceedings A.P. Nos. 15295 & 15296 of 2026. This certificate is issued under Section 28A of the SEBI Act, 1992, for recovery of penalty amounts arising from the individual’s alleged participation in non-genuine reversal trades in the illiquid stock options segment of BSE. This action is part of SEBI’s broader enforcement campaign targeting large-scale manipulation of BSE’s illiquid stock options segment during the investigation period April 2014 to September 2015.

Key Points

  • Recovery Certificate No. RC9043 of 2026 issued against Amit Shaw (PAN: BEJPS1492A)
  • Dual adjudication proceedings: A.P. Nos. 15295 & 15296 of 2026
  • Matter pertains to trading in illiquid stock options on BSE
  • Certificate enables SEBI to enforce collection of penalty as a public demand recoverable as arrears of land revenue
  • Part of a large batch of simultaneous RC issuances (RC9015–RC9063 range) against multiple individuals in the same illiquid stock options matter
  • SEBI’s broader investigation covered 2,91,744 alleged non-genuine trades representing approximately 81.40% of all BSE stock options trades during the investigation period

Regulatory Changes

No new regulatory changes introduced. This is an enforcement and recovery action applying existing provisions under Section 28A of the SEBI Act, 1992, and PFUTP Regulations.

Compliance Requirements

  • Amit Shaw is required to pay the outstanding penalty amount certified under RC9043 of 2026
  • Failure to comply with the recovery certificate may result in attachment of assets and other coercive recovery measures under Section 28A of the SEBI Act
  • The certificate is enforceable as arrears of land revenue through the designated authority
  • Market participants must refrain from executing non-genuine reversal trades or coordinated trades designed to generate artificial volumes in any securities segment

Important Dates

  • Investigation Period (underlying matter): April 1, 2014 – September 30, 2015
  • Recovery Certificate RC9043 of 2026 issued: April 24, 2026
  • A.P. Nos. 15295 & 15296 of 2026: Recovery proceedings registered in 2026

Impact Assessment

This recovery certificate has limited direct market impact as it is an individual enforcement action against a single trader. However, it forms part of SEBI’s sustained and systematic enforcement campaign against entities that participated in the large-scale illiquid stock options manipulation scheme on BSE. The simultaneous issuance of multiple RCs (RC9015 through RC9063 and beyond) in April 2026 against numerous individuals signals SEBI’s continued commitment to pursuing penalty recovery even years after the underlying trades occurred. Brokers and traders involved in similar reversal-trade strategies should be aware that SEBI will pursue recovery through all available statutory mechanisms.

Impact Justification

Individual recovery certificate against a single trader as part of SEBI's systematic enforcement campaign against illiquid stock options manipulation on BSE; limited broader market impact but consistent with ongoing large-scale enforcement action.