Business

SEBI mentioned that the amount must be paid within 45 days.New Delhi: Market regulator SEBI on Tuesday issued a collective penalty of Rs 75 lakh on Videocon's Venugopal Dhoot and two other entities for insider trading.

The Securities and Exchange Board of India imposed a fine of Rs 25 lakh each on Mr Dhoot, Electroparts India Pvt Ltd and Videocon Realty and Infrastructures Ltd respectively.Electroparts India was previously named as Shree Dhoot Trading and Agencies.The regulator mentioned that the amount must be paid within 45 days.SEBI said it had received two complaints -- dated June 16, 2017 and October 13, 2017 -- alleging price fall of the Videocon Industries (VIL) shares.

Later, the market regulator had requested National Stock Exchange (NSE) to carry out examination in the scrip of VIL.Based on the NSE report, SEBI had started an investigation and observed prima facie violations of rules relating to insider trading.As per SEBI's investigation, VIL had taken various loans and advances from 41 banks to the tune of Rs 23,070 crore and almost all the lenders had classified loan account of the company as NPA (non-performing assets).The regulator further noted that Mr Dhoot was the insider who traded on behalf of the other two entities -- Electroparts and Videocon Realty And Infra -- during the unpublished price sensitive information period. In a separate set of notification, SEBI said that it has approved a range of new measures including frameworks for gold, social stock exchanges and introduction of silver Exchange Traded Funds or ETFs.The SEBI Board also cleared a proposal to amend de-listing framework after an open offer.

It will help to make the mergers and acquisitions (M-A) process more easier.Also Read: SEBI's Rules For Gold Exchange, Silver ETFs - Other Top Decisions





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