The market regulator found that the officials of FTIL and MCX used Unpublished Price Sensitive Information (UPSI) to sell their shares and avoid losses.
The Security and Exchange Board of India (Sebi) has taken action against officials of MCX and its promoter Financial Technologies India Ltd (FTIL) for alleged insider trading in 2012. It is believed that the act by officials may have helped them avert losses of about Rs 125 crore.
The capital market regulator found that the officials of FTIL (63 Moons Technologies) and MCX used Unpublished Price Sensitive Information (UPSI) to sell their shares and avoid losses.
“The relatively substantial sale of FTIL shares by the aforementioned entities from August 22, 2012 to March 8, 2013, was when in possession of UPSI. The aforementioned entities therefore, engaged in insider trading which is prohibited under the Insider Trading Regulations, 1992 read with the SEBI (Prohibition of Insider Trading) Regulations, 2015,” said a release by Sebi.
The regulator has impounded the gains made by sale of shares using the information.
Source: Media reports
Thursday, August 3, 2017