Sebi confirms directions passed against 6 entities in Infosys insider trading case

#Infosys, #insider trading case, #Market news, #SEBI

SEBI analysed call records, financial statements and bank statements to make connections between the entities.

Markets regulator Sebi on Wednesday confirmed its directions passed earlier against certain entities to bar them from the capital markets for allegedly indulging in insider trading in Infosys Ltd’s shares.

Besides, Sebi has tweaked its interim order passed in May 2021, to the extent of allowing credit and debit of securities in the accounts of the entities.

A thorough investigation in this matter is pending, Sebi said.

“In the light of the fact that the procurement and communication of UPSI has not been completely ruled out at this stage, complete lifting of all the restrictions on Entities no. 1 to 5 and 8 would not be appropriate and this is a call which will be apt for a stage subsequent to completion of a thorough investigation into the matter,” Sebi said in a confirmatory order.

Entities refer to Pranshu Bhutra, Amit Bhutra, Bharath C. Jain, Capital One Partners, Tesora Capital and Venkata Subramaniam V. V. Pranshu Bhutra is senior corporate counsel of Infosys and Venkata Subramaniam V V is senior principal, corporate accounting group of Infosys.

Sebi had conducted an examination in respect of trading activities of two partnership firms– Capital One and Tesora Capital.

They prima facie traded in the scrip of Infosys in the F&O (Futures & Options) segment just prior to announcement of financial results for the quarter ended June 30, 2020.

The information related to the financial results was unpublished price sensitive information (UPSI) and the period between June 29, 2020 to July 15, 2020 was UPSI period.

By virtue of being a designated person,Venkata was reasonably expected to have an access to and be in possession of the UPSI. Apart from being colleagues, Pranshu and Venkata were also in frequent communication.

Amit Bhutra and Bharath C. Jain are working partners of Capital One and Amit is also working partner of Tesora.

A large part of case against the entities rests on the fact that Venkata has been listed as a designated person who can be expected to have reasonable access to the UPSI of the company.

This prima-facie observation coupled with series of phone calls from Pranshu to Venkata and thereafter from Pranshu to his cousin Amit, prior to the trades executed by Capital One and Tesora, were bound to give rise to a bonafide suspicion of insider trading based on the sheer preponderance of probabilities caused by chain of connections and activities involving various entities, Sebi noted.

While imposing the ban till further orders on the eight entities through its interim order, the watchdog had also directed impounding illegal gains worth Rs 3.06 crore from two of them — Capital One Partners and Tesora Capital.

Internet Explorer Channel Network
News Related

OTHER NEWS

Sensex jumps 50% from last Dussehra to scale 61,000 mark. 169 stocks give multibagger returns

India’s equity markets have generated huge wealth for investors since Dussehra last year as the benchmark indices scaled new highs, even though there was a pause in April-May due to ... Read more »

S&P 500 surges, biggest daily percentage rise since March on earnings, data

The S&P 500 jumped on Thursday, its biggest daily percentage advance since early March, as companies including Morgan Stanley and UnitedHealth climbed following strong results, while data on the labor ... Read more »

DAILY VOICE | Higher energy prices, coal crisis, supply chain bottlenecks could hamper economic growth in near term: Poonam Tandon of IndiaFirst Life

Poonam Tandon, Chief Investment Officer at IndiaFirst Life Insurance Company, who has over 26 years of experience in the financial services sector, expects festive push, pent-up demand, good monsoon, improving ... Read more »

No SEBI order for cancellation of ratings license: Brickwork

Rating agency Brickwork, on October 14, said it did not receive any order from market-regulator Securities and exchange board of India (SEBI) on cancellation of its rating license. “There is ... Read more »

Infosys price targets raised by up to 19%

Mumbai: Brokerages have increased their price targets on India’s second-largest software services provider Infosys by as much as 19% after its September quarter earnings beat estimates and the company raised ... Read more »

FPIs, brokers, global banks ask FinMin for T+1 working group

Mumbai: In a last-ditch attempt, a team of leading foreign portfolio investors (FPIs), top brokers and MNC banks on Tuesday impressed upon revenue secretary Tarun Bajaj, an old finance ministry ... Read more »

Accumulate Infosys; target of Rs 1932: Arihant Capital

Arihant Capital’s research report on Infosys Infosys (INFY) has reported robust Q2FY22 numbers, above our estimate on all fronts, and raised growth guidance for FY22E. Constant Currency Revenue growth +20.7% ... Read more »

PNB Housing terminates deal with Carylye-led investor group

File image Pluto Investments would be withdrawing its open offer, PNB Housing Finance Ltd said in a regulatory filing on October 14. The share subscription agreement has been terminated, it said. ... Read more »

Indian fintech firm Pine Labs eyes IPO in 12 months: CEO Amrish Rau

Indian fintech firm Pine Labs is considering an initial public offering in as little as a year, its chief executive said on Thursday, as the company made a foray into ... Read more »

Sebi introduces online system to obtain SCORES credentials for cos intending to list Secs on bourses

Sebi | PC-Shutterstock Markets regulator Sebi on Thursday decided to introduce an online mechanism for obtaining SCORES credentials for all companies intending to list their securities on stock exchanges. “This ... Read more »

SEBI issues revised reporting formats for issuers of non-convertible securities

Markets regulator SEBI on Thursday came out with revised formats for limited review and audit reports to be submitted by entities that have listed their non-convertible securities. The revised formats are ... Read more »

Gold prices rise above Rs 48,000 per 10 gm ahead of Dussehra; silver soars Rs 1,154 a kg

Gold prices continued uptrend for the eighth consecutive day on October 14, up by Rs 638 to touch Rs 48,125 per 10 gram in the Mumbai bullion market a day ... Read more »

SEBI approves Nykaa IPO worth Rs 4,000 crore: Sources

Nykaa is one of the most unique startups to be hitting the public markets this year. (Image: Shutterstock) Securities and Exchange Board of India (SEBI) has given its approval for ... Read more »

Crude oil prices climb above Rs 6,100 per barrel on strong demand, supply woes

Representative image Crude oil prices crossed Rs 6,100 a barrel, reversing two days of fall on rising demand, revival in economic activity, tight supplies and firm equity market. Crude prices were ... Read more »

Buy Infosys; target of Rs 1910: Emkay Global Financial

Emkay Global Financial’s report on Infosys Infosys’ Q2FY22 operating performance was ahead of expectations due to a margin beat. Revenues grew 5.7% QoQ (6.3% CC) to USD4bn, in line with ... Read more »

Silver price gives breakout above 50-day SMA and EMA to trade above Rs 63,000/kg

Silver prices rose above Rs 63,000 per kg on October 14 after a sharp rally yesterday in the global market, tracking gains in gold and industrial metals on a weaker ... Read more »

Moneycontrol Pro Panorama | Will September earnings catch up with valuations?

Representative Image (Shutterstock) Dear Reader, The Panorama newsletter is sent to Moneycontrol Pro subscribers on market days. It offers easy access to stories published on Moneycontrol Pro and gives a ... Read more »

Natural gas futures rise nearly 3.5% on supply crunch; weekly inventory report in focus

Natural gas futures climbed for the second straight day on October 14 as participants increased their long positions as seen by the open interest. The gas price had risen 1.5 percent ... Read more »

Buy Infosys; target of Rs 1960: Motilal Oswal

The research firm ICICI Securities believes earnings of apparel brands and retail companies under their coverage may surprise positively from Q3FY22E as the likely demand recovery may result in better than expected ... Read more »

Buy Infosys; target of Rs 2026: YES Securities

500bps growth outperformance over FY21-24E as compared to 250bps earlier). We roll over valuations to Sepemtember-23E and increase target multiples for most of the companies in our coverage universe. We remain broadly constructive ... Read more »

Buy Infosys: target of Rs 2050: Sharekhan

500bps growth outperformance over FY21-24E as compared to 250bps earlier). We roll over valuations to Sepemtember-23E and increase target multiples for most of the companies in our coverage universe. We remain broadly constructive ... Read more »

Australian sharemarket gains ground after three straight days of losses

The Australian sharemarket bounced back after three days of weakness, enough to claw back those losses for much of the session, but ran out of steam. The benchmark S&P/ASX200 index ... Read more »

Infosys: Buy, sell or hold the stock after Q2 earnings?

The Infosys share price gained more than 3 percent in the early trade on October 14 after the company reported its September quarter earnings a day in advance. Infosys has ... Read more »

Infosys Consolidated September 2021 Net Sales at Rs 29,602.00 crore, up 20.48% Y-o-Y

Reported Consolidated quarterly numbers for Infosys are: Net Sales at Rs 29,602.00 crore in September 2021 up 20.48% from Rs. 24,570.00 crore in September 2020. Quarterly Net Profit at Rs. ... Read more »

Infosys Standalone September 2021 Net Sales at Rs 25,462.00 crore, up 20.98% Y-o-Y

Reported Standalone quarterly numbers for Infosys are: Net Sales at Rs 25,462.00 crore in September 2021 up 20.98% from Rs. 21,046.00 crore in September 2020. Quarterly Net Profit at Rs. ... Read more »

Asian stocks up as US dollar squeezed

Asian stock markets have risen, the US dollar has eased and longer-dated bonds rallied as investors reckoned on inflation bringing forward rate hikes around the world. MSCI's broadest index of ... Read more »

Buy Infosys target of Rs 2004: Prabhudas Lilladher

Prabhudas Lilladher’s research report on Infosys Infy reported strong growth of 6.3% QoQ CC, 5.7% QoQ USD much above our estimates (Ple: 4.8%, Cons: 5.5%) led by strong broad-based demand ... Read more »

Trade Spotlight | What to do with Tata Motors, BHEL, M&M, Tata Chemicals stocks?

The Indian market consistently remained in an uncharted territory as the benchmark indices ended at fresh record closing highs on October 13, outperforming its global peers. The BSE Sensex rallied ... Read more »

Buzzing Stocks: Infosys, Wipro, UltraTech Cement and other stocks in news today

Results on October 14: HCL Technologies, Indiabulls Real Estate, Benares Hotels, Century Textiles, Cyient, Den Networks, Ganesh Housing Corporation, GTPL Hathway, Inox Wind, Inox Wind Energy, Mahindra CIE Automotive, Radhe ... Read more »

Carlyle Group to acquire A Twosome Place coffee chain

A Twosome Place image seen on the coffee chain’s official website / Courtesy of A Twosome Place By Anna J. Park The Carlyle Group plans to acquire Korea’s No. 2 ... Read more »

S&P 500 rises but JPMorgan a drag

The S&P 500 has ended higher, led by gains in shares of big growth names like Amazon and Microsoft, but JPMorgan shares fell and weighed on the index even though ... Read more »

Wipro to get more employees to office from January 2022, aims to strengthen teamwork

Representational image. Bengaluru-based IT major Wipro, which had already started getting senior executives back to office in September, will accelerate the initiative from January 2022 as the vaccination gains pace, ... Read more »

Wipro to get more employees to office from January 2023, aims to strengthen teamwork

Representational image. Bengaluru-based IT major Wipro, which had already started getting senior executives back to office in September, will accelerate the initiative from January 2023 as the vaccination gains pace, ... Read more »

Dollar trades near one-year high ahead of Fed meeting minutes

The dollar held close to a one-year high against a basket of peer currencies on Wednesday amid rising expectations the Federal Reserve will announce a tapering of stimulus next month, ... Read more »

Infosys CEO says income tax portal seeing steady progress, 1.9 crore returns filed

Infosys CEO Salil Parekh Infosys CEO Salil Parekh said the company is seeing steady progress in implementing India’s ambitious new income tax portal project, with 1.9 crore returns getting filed ... Read more »

Infosys COO UB Pravin Rao to retire, company will announce new structure in weeks

Infosys on October 13 announced that its chief operating officer (COO) UB Pravin Rao will retire and the company will announce its new structure in weeks. (This is a developing story. ... Read more »

Infosys to hire 45,000 freshers this year, attrition zooms to 20 percent

Software major Infosys said on October 13 that it has expanded its fresher hiring program to 45,000 for the year, as it sees strong demand for its services. This also ... Read more »

Infosys Q2 Result | IT major announces interim dividend of Rs 15 apiece

Image: Reuters IT services major Infosys on October 13 announced an interim dividend of Rs 15 per share for the fiscal year 2021-22 (FY22) while announcing its September quarter result. ... Read more »