SC stays SAT order replacing penalty with warning
By IANS |
Published on
Wed, Jan 6 2021 21:21 IST |
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Supreme Court. (File Photo: IANS). Image Source: IANS News
New Delhi, Jan 6 : In a major development, the Supreme Court has stayed an order of the Securities Appellate Tribunal (SAT) wherein the latter had substituted a penalty by SEBI in a case of fraudulent trading in the shares of Mapro Industries, with just a warning. The matter pertains to an appeal filed by the Securities and Exchange Board of India (SEBI) folllowing the SAT order.
The top court noted that the direction substituting the penalty, which was imposed for indulging in fraudulent and unfair trading practices Section 15HA of the SEBI Act, with a warning was in contradiction to the statutory provision.
Sebi fines Reliance Industries, Mukesh Ambani, two other entities
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RIL didn’t respond to queries but has challenged an earlier Sebi order in the matter in the Supreme Court.
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MUMBAI: The Securities and Exchange Board of India (Sebi) penalised Reliance Industries Ltd (RIL) and its chairman and managing director Mukesh Ambani as well as two other entities for their alleged role in carrying out manipulative trades in Reliance Petroleum Ltd (
RIL didn’t respond to queries but has challenged an earlier Sebi order in the matter in the Supreme Court.
In its Friday order, the regulator imposed a penalty of Rs 25 crore on RIL and Rs 15 crore on Ambani. It also fined Navi Mumbai SEZ Rs 20 crore and asked Mumbai SEZ to pay Rs 10 crore in connection with the case. RPL was absorbed by RIL in 2009.
SEBI Imposes Rs70 Crore Penalty on Reliance Industries, Mukesh Ambani for Fraudulent Trading in F&O of RPL in 2007
Moneylife Digital Team
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Market regulator Securities and Exchange Board of India (SEBI) has imposed a penalty of Rs70 crore on Reliance Industries Ltd (RIL), the company chairman Mukesh Ambani, Navi Mumbai SEZ Pvt Ltd and Mumbai SEZ Ltd, for fraudulent trading in the futures & options (F&O), or derivatives, space in Reliance Petroleum Ltd (RPL). This is in addition to a previous order for disgorgement of nearly Rs1,000 crore with interest, which was upheld by the Securities Appellate Tribunal (SAT) and is now being challenged in the Supreme Court by RIL.
A file photo of Reliance Industries Chairperson Mukesh Ambani. | Prakash Singh/AFP
The Securities and Exchange Board on Saturday imposed penalties on Reliance Industries Limited, its Chairperson Mukesh Ambani and two other entities for allegedly manipulating share trading of Reliance Petroleum Limited in November 2007. The other two companies are Navi Mumbai SEZ and Mumbai SEZ.
Reliance Industries Limited, or RIL, and Ambani were fined Rs 25 crore and 15 crore, respectively. Mumbai SEZ was asked to pay 10 crore, while Navi Mumbai SEZ was penalised Rs 20 crore.
The case is related to the sale and purchase of Reliance Petroleum shares in future and cash segments in November 2007. This followed RIL’s decision to sell 4.1% stake in the Reliance Petroleum Limited, or RPL, which later merged into RIL in 2009.