Ketan Parekh and two other accused told Special SEBI court in Mumbai court that it was practically impossible to arrange separate sureties for each of the multiple Securities and Exchange Board of India (SEBI) cases they are facing, prompting the court to allow them to furnish additional cash security instead.
The accused submitted that they were facing prosecution in multiple Special SEBI cases pending before the same court and that arranging a separate personal surety for every case would require multiple individuals to stand as sureties simultaneously.
“Considering the fact of involvement of the applicant/accused in several matters the possibility raised by the applicants/accused in getting independent sureties in each matter is difficult, cannot be ruled out” the order said.
The court noted that the accused had been released on bail in other proceedings and that some of the proceedings against them had been stayed by the Bombay High Court. It also noted that the applicants were attending court as and when directed.
SEBI opposed the plea, arguing that the accused faced allegations of large-scale market manipulation that led to the stock market crashing and caused losses to thousands of investors.