The stock was listed on August 26, 2021 at the price of Rs 12 per share and closed at Rs 179.10. During this period, the scrip also closed at the highest price of Rs 296.05 on November 11, 2022, which is 2.467% of the listing price, the order said.The disbursement of the unlawful profits along with interest at the rate of 12% per annum has been calculated from March 31, 2023 to the date of this order.
The investigation was conducted when the stock price was rising exponentially, and Sebi found that the 26 suspects were trading as a “group” and used deceptive trading strategies that contributed to the artificial increase in price and volume in DU Digital’s scrip.
Following the investigation, Sebi issued a Show Cause Notice (SCN) on July 14, 2025.
Originally incorporated as Diva Envitec Filtration Technologies Private Limited, the company changed its name to DU Digital Technologies.
Which suspect argued?
Among the arguments advanced by the suspect, it was said that the trading activity in DU Digital’s scrip was consistently small in size.
delivery-based and executed solely with a purely investment-driven intention.
It was also said that a common address or a common broker alone cannot establish a connection without evidence of a meeting of minds. Furthermore, the SCN relied on indirect data without the required specific evidence of the trade-to-trade link.
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