April 17, 2021

Sebi fines particular person for disclosure lapses in Gitanjali Gems case

NEW DELHI: Market regulator Sebi on Friday slapped a positive of Rs 5 lakh on Chaitya Rajesh Shah for his failure to adjust to disclosure necessities whereas dealing within the shares of .

Securities and Alternate Board of India (Sebi) had performed an examination within the scrip of Gitanjali Gems throughout Might 31, 2017 to February 5, 2018.

In the course of the probe, the regulator famous that the noticee — Chaitya Rajesh Shah — was holding 5.80 per cent of the full share capital of Gitanjali Gems as on September 30, 2017.

He carried out transactions through the interval of investigation and his promoting crossed 2 per cent of complete shareholding within the firm. Consequently, he was required to make disclosures to the alternate and the corporate.

Nevertheless, there was no disclosure filed by the noticee with respect to his disposal of shares even until date, Sebi mentioned in an order.

The regulator famous that his failure to reveal has continued to behave in violation of regulation of Substantial Acquisition of Shares and Takeovers (SAST) Rules.