The Chairperson and Chief Executive Officer of PB Fintech, Yashish Dahiya has paid Rs 9.42 lakh to settle allegations of violations of Insider Trading Regulations.
The showcause notice issued to Dahiya from SEBI cited his having failed to identify an acquisition of 26.72 percent shares of YKNP Marketing Management (YKNPMM) by PB Fintech Ltd. (PBFL) through its subsidiary PB Fintech FZ-LLC as unpublished price sensitive information in terms of Regulation 2(1)(n)(iv) of SEBI(PIT) Regulations, 2015.
In a settlement order issued on March 4, the Securities and Exchange Board of India (SEBI) said that it had initiated adjudication proceedings against Dahiya for alleged violation of the following:
Regulation 9A(2)(b) and Clause 4(1) of Schedule B of Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015 (hereinafter referred to as SEBI (PIT) Regulations, 2015).
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Regulations 9A (2) (b) deals with the institutional mechanism that is in place to prevent insider trading. This section deals with the responsibility of the CEO, managing director and other such analogous persons of a listed entity to ensure compliance of PIT Regulations, and says that the internal control should include identifying unpublished price-sensitive information (UPSI) and maintaining its confidentiality as required by the regulations.
A showcause notice dated April 5, 2024 was issued to Dahiya.
Dahiya proposed to settle the adjudication proceedings without admitting or denying the facts and conclusions of law.
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