BackSebi bars Gammon Infra’s Abhijit Rajan from markets
The market regulator found Rajan guilty of insider trading and dealing in securities of Gammon Infra unfairly
Premium
Mumbai: The Securities and Exchange Board of India (Sebi) on Thursday barred former chairman and managing director of Gammon Infrastructure Projects Ltd (GIPL), Abhijit Rajan, from buying, selling or dealing in securities and accessing the securities markets in any manner till further directions.
Following a preliminary probe, the market regulator found Rajan guilty of insider trading and dealing in securities of Gammon Infrastructure unfairly on the basis of privileged unpublished information.
“I prima-facie find that Abhijit Rajan, being an ‘insider’, had access to the ‘unpublished price sensitive information’ and was in possession of the same and he dealt in the shares of GIPL on the basis of the said unpublished price sensitive information…," Sebi whole-time member Rajeev Kumar Agarwal said in an interim order.
This is the second time Rajan has been penalized by Sebi for allegedly breaching existing norms. On 21 December 2006, Rajan was debarred from accessing the capital market for a year for his alleged role in the rights issue of Gammon India Ltd. Later in June 2008, an appeal filed by him against the Sebi order was dismissed by Securities Appellate Tribunal.
Rajan, is currently chairman and managing director of Gammon India, in which he holds 5.99% directly and 29% indirectly.
Sebi will pass a final order on the matter after a detailed investigation. Rajan has been given 21 days to reply to Sebi’s latest order.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!
