The market regulator Securities and Exchange Board of India (SEBI) has banned 26 firms from any type of trading and transaction in stocks for allegedly circulating scam tainted stock broker Ketan Parekh's money in the stock market from January 2007 to February 2009.
 
These entities include Maruti Securities Ltd (MSL), Kundan Leasing & Finance Pvt. Ltd, Jay Investrade Pvt. Ltd, HSM Financial Services Ltd. Cals Refineries Ltd, Confidence Petroleum India Ltd, Bang Overseas Ltd, Shree Precoated Steels Ltd (SPSL), Chandra Financial Services Pvt. Ltd and Temptation Foods Ltd (TFL).

SEBI found these firms as conduits for routing Ketan Parekh funds, referring the case to the Enforcement Directorate for further investigations. Ketan Parekh and others were banned from any trading at stock exchange following disclosure of stock market fraud in 2000-2001.

The regulator, in its order, said, "In all these trades, buy and sell order quantities and buy and sell order rates were same. The orders had perfectly matched and time difference between the placement of buy and sell orders was less than 60 seconds."

Meanwhile, SEBI also asked Reliance Capital Asset Management to withdraw its advertisement for Reliance Infrastructure Fund as the display and voiceover time of the warning in the advertisement is less than five seconds.