Mumbai: The Securities and Exchange Board of India (SEBI) on Wednesday imposed a fine of Rs 3 lakh on Bollywood actress Shilpa Shetty, her husband and businessman Raj Kundra and their company Viaan Industries for violating insider trading rules.
Amid the ongoing probe in the porn film racket case, the market regulator has fined stock exchanges for three years delay in making mandatory disclosures. ABP News has reviewed a copy of the order.
Read also: Shilpa Shetty’s mother Sunanda Shetty filed a police complaint
According to SEBI, Ms. Shilpa Shetty Kundra and Viaan Industries Ltd. had allegedly violated the provisions of Regulations 7(2)(a) and 7(2)(b) of SEBI (Prohibition of Insider Trading) Regulations, 2015, Due to which the decision was taken.
SEBI’s investigation into the trading/dealing of Vian Industries Limited (earlier known as Hindustan Safety Glass Industries Limited) dates back to the period between September 1, 2013 and December 23, 2015.
As per SEBI order, Vian Industries Limited made “preferential allotment of 5,00,000 equity shares to four persons” on October 29, 2015. “In this preferential allotment, Ripu Sudan and Shilpa Kundra received 1,28,800 shares,” the order states.
Shilpa Shetty and Raj Kundra were required to disclose the required disclosure after the allotment of shares by way of preferential allotment as the value of these transactions exceeded Rs 10 lakh.
During investigation, SEBI found that Shilpa Shetty and Raj Kundra failed to make the required disclosures under SEBI Regulations within the specified time frame.
After investigation, SEBI imposed a fine of Rs 3 lakh on Shilpa Shetty, Raj Kundra and Viaan Industries for violating the SEBI (Prohibition of Insider Trading) Regulations, 2015.
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