Hearing in RIL insider trading case pushed to July

The Securities Appellate Tribunal (SAT) has sought additional documents from the Securities and Exchange Board of India (Sebi) and Reliance Industries, while hearing an appeal relating to charges of insider trading against the company.

The next hearing on the case is scheduled for July 22.

The case pertains to allegations of insider trading against Reliance Industries erstwhile subsidiary, Reliance Petroleum and, dealings in the shares of the company in 2007. After Sebi had rejected an application to settle the matter through the consent, Reliance had approached SAT.

The consent process allows entities to settle charges against them without admitting or denying guilt, by paying a monetary penalty. In May 2012, the regulator had tweaked the consent mechanism to exclude matters such as insider trading and front running from its purview, except in exceptional matters.

Sebi counsel D J Khambatta said adjournments were delaying the regulator's adjudication proceedings against the company. Previously, the case had been adjourned in January, February and April.

In a separate case, Sebi had, in May, imposed a penalty of Rs 11 crore on Reliance Petroinvestments, a subsidiary of Reliance Industries, on charges of insider trading. The regulator had probed the purchase of shares in Indian Petrochemicals before the declaration of interim dividend and the announcement of a merger with Reliance Industries.