Mudit Finlease has settled a case related to alleged violation of insider trading norms with markets regulator Sebi after payment of Rs 20.40 lakh as settlement charges, a Sebi order said.
Mudit Finlease has settled a case related to alleged violation of insider trading norms with markets regulator Sebi after payment of Rs 20.40 lakh as settlement charges, a Sebi order said. The regulator had initiated adjudication proceedings against the firm for allegedly violating PIT (Prohibition of Insider Trading) Regulations and Securities Contracts (Regulation) Act. While the proceedings were in progress, Mudit Finlease submitted an application for the settlement, the order said. The settlement terms proposed by the firm were considered by Sebi’s High Powered Advisory Committee (HPAC). After considering the facts of the case and taking note that Mudit Finlease is “agreeable to pay the settlement amount calculated as per settlement regulations”, the HPAC recommended that the case may be settled on payment of Rs 20.40 lakh towards settlement terms as proposed by the firm.
The recommendation of HPAC was also approved by the panel of whole-time members of Sebi, the order said. Last month, Mudit Finlease paid the settlement amount of Rs 20.40 lakh and accordingly, the Securities and Exchange Board of India (Sebi) settled the proceedings. However, Sebi said if any representation made by the firm in the settlement proceedings is subsequently discovered to be untrue, enforcement actions including commencing of proceedings can be initiated against it.