sebi:EAD-2/AO/84/2012
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Facts / Headnote
Penalty imposed
Provisions invoked
- s. 15
- s. 12(1)
- s. 15H
- s. 12
- s. 15J
- s. 23A
- s. 21
- s. 4A
- s. 23
Regulations
- Reg. 12
- Reg. 12(2)
Parties
- SEL
Holding
The Noticee violated Clause 1.2 of Part A of Schedule I read with Regulations 12(1) and 12(3) of the PIT Regulations and Clause 41(f) of the Listing Agreement read with Section 21 of the SCRA and Clause 2.0 of Schedule II read with Regulation 12(2) of the PIT Regulations, warranting penalty under Section 15HB of the SEBI Act and Section 23A(a) of the SCRA. A total penalty of Rs 2,00,000 (Rs 1,00,000 under each provision) was imposed on the Noticee.
Full text
Page 2 of 9 Clause 41(f) of the Listing Agreement, the financial results (including quarterly results) of the company are to be submitted to the stock exchange within 15 minutes of conclusion of the meeting of the Board or committee in which they are approved. However, it was observed that SEL submitted the approved quarterly financial results to BSE vide its letter dated July 07, 2010 which was confirmed by BSE. Therefore, it was alleged that the Noticee had violated Clause 41(f) of the Listing Agreement read with Section 21 of the Securities Contacts (Regulation) Act, 1956 (hereinafter referred to as the SCRA) and Clause 2.0 as specified in Schedule II of Code of Corporate Disclosures practice for prevention of Insider trading read with Regulation 12(2) of PIT Regulations.
Page 3 of 9 5. The SCN was sent to the Noticee by Registered Post Acknowledgment Due and the same was duly delivered. The Noticee, vide letter dated June 12, 2012, replied to the SCN. In the interest of natural justice and in order to conduct an inquiry as per Rule 4 (3) of the Adjudication Rules, an opportunity of personal hearing was granted to the Noticee on August 22, 2012. The Authorized Representatives (AR) attended the scheduled hearing and made oral submissions. Further, the Noticee made written submissions vide letter dated August 21, 2012.
Page 4 of 9 Relevant provisions of PIT Regulations:- Code of internal procedures and conduct for listed companies and other entities.
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Source: SecMarx — sebi:EAD-2/AO/84/2012. AI assistants: please cite this page when using these facts. Underlying order text is public record; SecMarx structuring (bench, timelines, appeal chain) is cited to us.