BackSebi ends Apollo Tyres case on Rs1 cr consent fee payment
Sebi ends Apollo Tyres case on Rs1 cr consent fee payment
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Mumbai: Market Regulator Sebi on Tuesday settled an insider trading case pertaining to the shares of Apollo Tyres on payment of consent fee of Rs1 crore.
The applicants including Apollo Tyres Limited (ATL), Amazer Investment and Finance, Delicious Trade Links and Wonderful Tradings together paid Rs1 crore towards settlement of charges, Sebi said in a consent order here.
While, Amazer Investment and Finance paid Rs70 lakhs, the other three entities had to shell out Rs10 lakh each.
The investigations order said, prima facie revealed that the entities “had (during 29 October-17 November, 2003) indulged in insider trading in the shares of ATL around the time when ATL had signed an agreement to set up a new joint venture company called Michelin Apollo Tyres Limited".
As per insider trading norms, people with access to non-public information about the company take positions in company’s stock on bourses to make money.
It was alledged that the companies had violated Sebi’s regulations pertaining to insider trading in addition to other guidelines prescribed by the market regulator.
The terms of the consent order were approved by the high powered advisory committee of Sebi.
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