Biyani barred from accessing securities market for 1 yr, asked to pay ₹1cr penalty

Biyani barred from accessing securities market for 1 yr, asked to pay ₹1cr penalty

Future Group founder Kishore Biyani has been restricted from accessing the securities market by the Securities and Exchange Board of India for a year. The market regulator has restrained Kishore Biyani, his brother Anil Biyani, Rajesh Pathak, Rajkumar Pande and Future Corporate Resources Pvt. Ltd., from accessing, dealing or being associated with the securities market for a period of one year. It

has also restrained them from buying, selling or dealing in securities of Future Retail Ltd., for a period of two years, alleging violation of insider trading norms. Both the Biyanis and Future Corporate have been directed to jointly disgorge an amount of Rs 17.78 crore, along with 12% interest from Apr. 20, 2020 onwards. The disgorgement pertains to money allegedly earned by them from trades

conducted on the basis of unpublished price sensitive information. An additional disgorgement of Rs 2.75 crore is to be jointly paid by Future Corporate Resources and FCRL Employee Welfare Trust. The regulator has also imposed other penalties, including a penalty of Rs 1 crore each on Future Corporate Resources, Kishore Biyani and Anil Biyani. As per the order, the existing holding of securities

and units of mutual funds of the entities involved will remain frozen during the restraint period. But SEBI has provided that its order will not impede the proposed scheme of arrangement between several Future Group entities, led by Future Retail Ltd., with Reliance Retail Ventures Ltd.

News source : BloombergQuint

Leave a Reply

Your email address will not be published.