SAT admits RIL plea on Rs 13-cr penalty

The Securities and Appellant Tribunal (SAT) on Friday admitted a plea by Reliance Industries (RIL) against a Rs 13 crore penalty imposed by capital market regulator Securities and Exchange Board of India (Sebi).

Sebi in August had passed an order against RIL for allegedly failing to disclose of a key financial metric to investors.

The tribunal would hear the matter next on December 11.

The regulator had alleged that the company's issuance of 120 million warrants in April 2007 led to dilution of the pre-issue paid-up equity share capital of RIL, but the company failed to disclose dilution in earnings for six quarters.

The company however, stated that the matter relates to the method of calculation of diluted earnings per share under the accounting standards and is not of non-disclosure.