Ajay Tyagi says Sebi to probe data leaks via social media

Ajay Tyagi, chairman of SEBI, speaks at a news conference after its board meeting at SEBI headquarters in Mumbai

The markets regulator is "seriously" looking into the complaints about some individuals allegedly circulating key financial details and other market moving information about listed companies on social media groups before they are made officially public.

Securities and Exchange Board chairman Ajay Tyagi today confirmed that the regulator has come to know of instances wherein price-sensitive financial data of reputed companies was leaked to right before the earnings were formally made public.

"We are taking that (WhatsApp leaks) very seriously. How come such messages about reputed listed companies are leaked quite close to the financial results is something we are not going to sit quietly on," Tyagi told reporters on the sidelines of an investment banking summit here.

As reported by PTI earlier, Sebi and the exchanges are examining trade details of over two dozen stocks as part of a probe into the alleged leak of key financial details through social media platform WhatsApp. The regulator is also considering seeking call data records of the persons involved. The companies include several blue-chips, officials had told PTI earlier.

Besides, Sebi is also considering seeking call data records (CDRs) of all the persons involved in the circulating such key financial details and other price-sensitive information about publicly traded companies on social media groups before they are made public.

The regulator has powers to seek call data records, excluding the exact content of the communication, from telecom service providers.

Sebi will also seek clarification from brokerages and listed firms if such individuals were found to be associated with them.