Hi psswaroop,
First of all let me allow to assure you that eBay does not take such sellers lightly. We continuously work at the backend to identify sellers who indulge in shill bidding (bidding to increase price of own auction), and warn/suspend such sellers.
While it might not be possible to catch such sellers in their first attempt of shill bidding, they normally get caught slowly. However, if you ever feel that a seller is indulging in shill bidding, please report the seller by clicking on 'Report item link' at bottom of every item page. This will help eBay to monitor and take appropriate action agasint such sellers.
Thanks and Regards,
Sapana