According to a report published in the Economic Times quoting sources, veteran investor Rakesh Jhunjhunwala has filed a Consent application in SEBI in connection with alleged insider trading in Aptech Limited (Aptech).
According to this report, Utpal Sheth, CEO of Jhunjhunwala’s asset management firm Rare Enterprises and on the board of Aptech, has also filed a consensual application in the case. Apart from this, Ramesh S Damani and Madhu Jayakumar are two more board members who are said to have filed a Consent application in SEBI.
This report also states that Uptech Limited has been on the SEBI scanner since 2016 in the matter of insider trading. This insider trading took place between May – October 2016.
Moneycontrol does not independently confirm this news.
Explain that under the SEBI guidelines, there is a provision to give relevant application for violation of the rules of the security market. Such cases are disposed of outside the court. The terms of the diagnosis of the case are determined between the parties concerned and the regulator without acceptance or disapproval of any offence. One has to pay the prescribed fees for this application. The terms of the settlement are placed before an independent advisory committee. Based on the recommendations of this committee, two whole-time members of SEBI take the final decision.
According to the report published in the Economic Times, SEBI is expected to give its final decision on these content applications filed on Insider Trading in Aptech. Before that, SEBI had sent notices to Rakesh Jhunjhunwala and Aptech’s board members in this matter.
Significantly, Rakesh Jhunjhunwala has a 50 percent stake in Uptake. He invested in Aptech for the first time in 2005 at a price of Rs 56 per share. The stock closed at Rs 216 on 5 February.