sebi:ISD/AIL/KN/AO/DRK-CS/EAD-3/402/68-13
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Facts / Headnote
Penalty imposed on the Noticee for non-compliance with disclosure requirements under SAST and PIT Regulations
Provisions invoked
- s. 15A
- s. 15
- s. 15J
Regulations
- Reg. 7(1)
- Reg. 13
- Reg. 13(1)
- Reg. 13(3)
- Reg. 13(5)
- Reg. 7(2)
Parties
- Mrs. Komal Nahata
Holding
The Noticee, Mrs. Komal Nahata, was held liable for violating regulation 7(1) read with regulation 7(2) of the SAST Regulations and regulations 13(1) and 13(3) read with regulation 13(5) of the PIT Regulations by failing to disclose acquisition and subsequent sale of 3,75,000 shares of AIL constituting 5.35% of total shareholding. A penalty of Rs. 1,00,000 was imposed under Section 15A(b) of the SEBI Act.
Full text
Page 2 of 9 Exchange Board of India Act, 1992 (hereinafter referred to as the "SEBI Act") read with Rule 3 of the Securities and Exchange Board of India (Procedure for Holding Inquiry and Imposing Penalties by Adjudicating Officer) Rules, 1995 (hereinafter referred to as the "Rules"), to inquire into and adjudge under Section 15A(b) of SEBI Act, for the violation of the provisions of regulation 7(1) read with regulation 7(2) of SAST Regulations and regulations 13(1) and 13(3) read with regulation 13(5) of PIT Regulations, alleged to have been committed by the Noticee.
Page 3 of 9 to more than five percent of the total shareholding of AIL. However, Noticee had not made any disclosure to AIL and to the stock exchange of such acquisition as per the aforesaid regulations.
Page 4 of 9 purchase or sale of shares, there was no contract either for said acquisition of shares or for subsequent reversal of transfer of said shares. Moreover, no monetary transaction were carried out for either for inward registration of transfer or for reversal of said transfer, as such KN was under the impression and understanding that no disclosure was required to be made pursuant to such transfer of shares under regulation 7(1) read with regulation 7(2) of SEBI (SAST) Regulations and Regulations 13(3) of SEBI (PIT) Regulations.
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Source: SecMarx — sebi:ISD/AIL/KN/AO/DRK-CS/EAD-3/402/68-13. 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.