Kathmandu, Dec 19: The Central Investigation Bureau (CIB) of Nepal Police on Thursday arrested controversial share broker and investor Mr Dipak Agrawal on charges of engaging in fake share trading.
According to CIB Spokesperson, SSP Shiv Kumar Shrestha, Agrawal was taken into custody after an investigation revealed fake trading involving shares worth more than Rs 4.9 million.
Based on a preliminary investigation report submitted by the Securities Board of Nepal (SEBON), Agrawal is accused of purchasing shares of Joshi Hydropower Development Company and disseminating misleading information in violation of Section 97(c) of the Securities Act, 2063 BS.
The CIB stated that Agrawal illegally earned approximately Rs 4,919,865 by selling shares at inflated prices.
Investigations further revealed that he used multiple Trading Management System (TMS) user accounts to conduct circular buying and selling, including transactions among relatives and affiliated institutions, without actual transfer of ownership. He is also accused of artificially inflating the share price of Corporate Development Bank.
According to SSP Shrestha, Agrawal was arrested on the basis of SEBON’s preliminary investigation report, which found him guilty of committing offences related to fake transactions and price manipulation under Sections 94(a) and (b), and Section 95 of the Securities Act, 2063 BS.
The CIB said that arrest permission was obtained from the Kathmandu District Court, following which Agrawal was apprehended from Chundevi, Kathmandu Metropolitan City–4, during a search operation. Further investigation into the case is currently underway. #arrest #nepal #stock
