SEBI provides clarity on insider trading regulations
Published: Apr 07, 2017
By TIOLCORP News Service
MUMBAI, APR 07, 2017: SEBI has recently provided clarity on applicability of Prohibition of Insider Trading regulations as part of an informal guidance sought by brokerage firm Prabhudas Lilladher. SEBI said that insider trading regulations would be applicable on all "connected persons" and not just on persons designated by the board of a company. Any person, may be covered by the definition of 'connected persons' if that person has a connection with the company that may put him in possession of Unpublished Price Sensitive Information. The letter, issued in December last, was made public yesterday by the watchdog.
The Regulator said that this letter does not express a decision of the board on the question referred.