Sebi settles seven insider trading cases with 19 entities

Markets regulator Sebi today settled seven cases related to alleged violation of insider trading norms with 19 entities after they paid a total sum of Rs 30.48 lakh towards settlement.

While Coromandel International and its 13 officials paid a total of Rs 20.48 lakh to settle two cases, Oricon Enterprises's four present and erstwhile promoters settled as many cases by paying a total amount of Rs 8 lakh.

Besides, one Nambi Chandrasekaran settled a case in the matter of Geometric Ltd after paying Rs 2 lakh.

It was alleged that Coromandel International and its 10 directors and 3 compliance officers had failed to adopt and implement the code of conduct for prevention of insider trading for listed companies under the PIT Regulations under the overall supervision of the board of the company till November, 2011.

According to two separate orders, the firm -- earlier known as Liberty Phosphate -- and its 13 officials had submitted applications to settle the adjudication proceedings, which the regulator had initiated against them for alleged violations.

The settlement terms proposed by the entities were considered by Sebi's High Powered Advisory Committee (HPAC), which recommended the cases for settlement on payment of Rs 6.88 lakh by the firm and Rs 6.80 lakh by the 10 directors and another Rs 6.80 lakh by the 3 compliance officers. This was approved by the panel of whole time members of the regulator.

Earlier this month, Coromandel International and the officials paid the settlement amount of Rs 6.88 lakh and Rs 13.60 lakh, respectively, following which the Securities and Exchange Board of India (Sebi) disposed of the adjudication proceedings.

The current promoters of Oricon Enterprises who have settled the cases are Sevantilal Jivanlal Parekh, Sujata Parekh Kumar and Arundhati Sunil Parekh. The erstwhile promoter of the firm settling his case is Atul Kumar.

It was alleged that the individuals had not made required disclosures to the firm and the stock exchange with regard to their shareholding following acquisition and transfer of shares, thereby, violating Sebi (Prohibition of Insider Trading) Regulations.

Chandrasekaran had allegedly made a delayed disclosure to Geometric Ltd as well as the stock exchanges with regard to change in his shareholding.

(This article has not been edited by Zeebiz editorial team and is auto-generated from an agency feed.)