Settlement Reached in Insider Trading Case

A former executive director of Axis Capital, Ashish Anup Nigam, along with Nehal Milan Mehta, has settled an insider trading case with the Securities and Exchange Board of India (Sebi) for a total of Rs 1.13 crore. Both individuals have also agreed to a six-month voluntary abstention from the securities market.

Details of the Settlement

In addition to the settlement amount, Mehta paid Rs 37.28 lakh towards the disgorgement of 'unlawful gains' and interest. The case involved alleged insider trading in the shares of BF Investment, with both parties applying for settlement under Sebi's regulations without admitting or denying the allegations.

Background of the Case

The investigation centered on whether Mehta traded in BF Investment shares while in possession of Unpublished Price Sensitive Information (UPSI) between September 4, 2022, and March 20, 2023. The UPSI was active between December 4 and 30, 2022, during which BF Investment announced a delisting proposal.

Conclusion

With the payment of the settlement and disgorgement amounts, the matter has been closed, though Sebi reserves the right to take further action if any misrepresentation or breach of settlement terms is discovered.