Corporate espionage: Sebi to check for illicit share trades

Amid a major crackdown on the alleged leak of classified official documents at the behest of corporate groups, the Securities and Exchange Board of India (Sebi) is looking into whether such leaks were used to push up or pull down the share prices of listed companies.

Depending on the progress of the inspection, which involves analysing trading and share price trends in a host of energy companies including some large firms from private as well as public sector, further action would be initiated by the regulator, a senior official said.

Those found to have traded on the basis of stolen information from government offices could be probed under insider trading and prevention of fraudulent and unfair trade regulations. They would be subjected to stern penal action by Sebi, he added.