stock market
Harshad Mehta shook the whole Indian financial ecosystem in 1992 after, 9 years later in 2001, later another scam stormed the Indian stock markets. The mastermind behind the 2001 Indian stock market scam was Harshad Mehta’s protégé Ketan Parekh and that’s why it was popularly known as the Ketan Parekh scam of 2001 and sources also mention the presence of Ketan Parekh in the scam 1992.
Who is Ketan Parekh?
The 2001 stock market fraud was created by Ketan Parekh. Before the scam became public, he was referred to as the “One Man Army” or “Pentafour Bull” of the Indian stock market because the stocks he bought in would soar, and investors would follow his recommendations without question. Ketan Parekh even produced a 200% annual return on certain of the equities he managed throughout the scam period.
Ketan Parekh, a Chartered Accountant by training, began his professional career managing the brokerage business run by his family, NH Securities. Subsequently, he joined his master Harshad Mehta, following in his footsteps. In addition to working as a promoter for one of Harshad Mehta and Ashwin Mehta’s businesses, Parekh learned the stock market’s tactics and trades from his mentor Harshad Mehta.
According to the reports by SFIO (Serious Fraud Investigation Officer), Ketan Parekh scam amount was worth around 40,000 crores. At his peak, Ketan Parekh was friends and business partner with famous media mogul Kerry Packer to start a venture capital firm where they would fund budding Indian start-ups.
read now: How Ketan Parekh executed the scam?
