Titan Compnay Limited fined by SEBI. SEBI penalized six individuals for violating insider trading norms in the matter of Titan Company Ltd. The regulator has levied a fine of Rs 1 lakh each on Muniraj Radhakrishnan, Gangadhar Sudheer Kallihal, Punit Juneja, Jayraj P, Arjun Ramji Vishwakarma and Mekat George.
Understanding the Titan Company Limited Case
In six separate orders, SEBI said these individuals were employees or designated persons of Titan at the time of the violation. Hence, the insider trading norms are noteworthy.
Since, Titan transacted the securities of the company.Therefore, it based on 2 occassions between the quater ended June 2018 and March 2019.
The total traded value of the securities by each of them was in excess Rs 10 lakh.
Since, under the norms, they were required to make disclosures to Titan for each of the transactions within two working days. However, they did not make the disclosures.
By doing so, they violated the prohibition of insider trading (PIT) norms.
They contended that they were’nt aware regarding the SEBI Act, PIT regulations. I t looked after the comoany’s code of conduct to prevent insider trading. Hence, the company violated the insider trading norms. Its against the rule of the company. It does’nt fit in the ethics of the company.
The orders came after Securities and Exchange Board of India (SEBI) received a letter from Titan. The insider trading norms contravened. The company intimated the regulator. As well as the company’s code of conduct for prevention of insider trading by some of its designated persons/ employees. Investigation is regarded as an important aspect in any scandal.
Final Words regarding Titan Company Limited
Thereafter, SEBI conducted an investigation in the scrip of Titan and observed several instances of non-compliance of insider trading rules during the period April 2018 to March 2019 by employees and designated persons of the company.
Hence, Securities Exchange Board of India (SEBI) investigated Titan Company Limited. SEBI imposed a penalty on Titan Company Limited. It fined the company officials for Rs. 1 lakhs.
