Two individuals have settled a case related to alleged violation of insider trading and takeover norms with Sebi after paying a total of Rs 13.60 lakh as settlement charges.
The regulator had initiated adjudication proceedings against E V Muthukumara Ramalingam and M R Gautam for allegedly violating Sebi (Prohibition of Insider Trading) Regulations and Sebi (Substantial Acquisition of Shares and Takeovers) Regulations.
While the adjudication proceedings were in progress, the two individuals submitted application for their settlement, the Securities and Exchange Board of India (Sebi) said in an order today.
The settlement terms, as proposed by Ramalingam and Gautam, were considered by the Internal Committee (IC) of Sebi and placed before the regulator's High Powered Advisory Committee (HPAC).
After considering the facts and circumstances of the case and taking note that the two individuals "are agreeable to pay the settlement amount" calculated as per settlement regulations, the HPAC recommended that the case may be settled on payment of Rs 9,03,125 by Ramalingam and Rs 4,56,875 by Gautam, towards settlement terms.
The recommendation of HPAC was also approved by a panel of the whole time members of Sebi, the regulator said.
Last month, Ramalingam and Gautam paid the settlement amount of Rs 9,03,125 and Rs 4,56,875 respectively, and accordingly, Sebi settled the proceedings.
The regulator noted that if any representation made by the individuals in the settlement proceedings is subsequently discovered to be untrue, enforcement actions including commencing of proceedings can be initiated against them.