Markets regulator Sebi has imposed Rs 10 lakh penalty on Indiabulls Real Estate chief financial officer Anil Mittal for indulging in insider trading.
Securities and Exchange Board of India (Sebi) carried out an analysis of the trading activity in the scrip of Indiabulls Real Estate Limited (IBREL) during January-June period 2017.
The regulator found that Mittal had traded in the shares of IBREL while in possession of the unpublished price sensitive information (UPSI) related to sale of shares by the company's promoter entity IBREL IBL Scheme Trust.
He had admittedly attended the meeting of the operations committee of IBREL, when the decision to sale 42.5 million shares held by the Trust was taken on June 8, 2017, Sebi said in an order passed on Friday.
It further said that Mittal had acquired the knowledge of the UPSI on June 8, 2017, and immediately 4 days thereafter sought pre-clearance for selling 10,000 shares and on receiving the same, sold the entire bulk on that day itself.
"...Noticee (Mittal) being a senior employee (chief financial officer) of IBREL in the instant case had traded in the shares of IBREL while being in possession of UPSI in violation of the Sebi (PIT) Regulations," the regulator said.
Consequently, the regulator has levied the fine of Rs 10 lakh on him.