The Securities Appellate Tribunal (SAT) has adjourned till September 25, a hearing on Mukesh Ambani-led Reliance Industries’ (RIL) plea against SEBI in an insider trading case.
The matter was adjourned as both the parties sought for a few more days to respond after an Urdu daily “Sacch Bilkul Saach” intervened in the matter.
Dr M. Furquan, editor of the daily ‘Sach Bilkul Sach’ has filed a PIL in the matter seeking “entire truth in the case,” said a lawyer, representing the daily.
The case relates to an alleged violation of insider trading norms in the sale of shares of its erstwhile subsidiary Reliance Petroleum in 2007. Post this, Reliance Petroleum was merged with RIL. During the process RIL had unlawfully gained over Rs 500 crore.
RIL had approached SAT against the market regulator after its application to settle the matter through a ‘consent mechanism’ was rejected by the regulator.
Under SEBI’s consent mechanism, companies can seek to settle cases with the regulator after paying certain charges and disgorgement of any ill-gotten gains.
RIL has challenged SEBI’s decision and also the recent changes made by the regulator in regulations governing settlement of cases through the consent mechanism, especially those already under consideration.