Sebi penalises 4 individuals for violations in Mindtree share trade

Capital markets regulator Sebi on Friday imposed fines totalling Rs 4 lakh on four individuals for violation of insider trading norms in the shares of Mindtree Ltd during the January-March 2019 period when they were designated employees.

The regulator levied a fine of Rs 1 lakh each on Chirag Malhotra, Meenakumari M, BG Dhananjaya and Nikhil Jain, according to four separate orders.

The order came after Sebi had investigated the scrip of Mindtree after it was intimated about contravention of prohibition of insider trading norms and the company's code of conduct for prevention of insider trading by some of its designated persons/employees.

The regulator found non-compliance by the individuals to the regulations during January-March 2019 period.

During their employment with Mindtree, they had transacted in the securities of the company but failed to make disclosures to the firm as required under the (Prohibition of Insider Trading) rules, as per Sebi.

The disclosure requirements were triggered on account of the transactions concerned exceeding the market value of Rs 10 lakh.

For violation of the norms, the individuals have been penalised by the regulator.