Sebi drops case of insider trading against Dish TV's promoter

Markets regulator Sebi has disposed of a case of alleged insider trading against Dish TV India's corporate promoter Direct Media Distribution Ventures Pvt Ltd.

It was alleged that it had violated provisions of prohibition of insider trading norms, as per an order passed on Tuesday.

The order follows an investigation conducted by the regulator in Dish TV's scrip between January-February 2019.

Allegedly, the promoter traded in Dish TV's shares while in possession of unpublished price sensitive information (UPSI) which pertained to approval of firm's financial results for the nine months and quarter ended December 31, 2018 and also in respect of approval of an investment to be made by Dish TV to the tune of Rs 3,000 crore in its wholly-owned subsidiary.

It was alleged that the promoter sold 21.4 lakh shares of Dish TV through market transactions while in possession of UPSI.

However, Sebi noted that "the trading pattern of the Noticee, ... does not lead to the conclusion that Noticee's trades in the scrip of DTIL on January 29, 2019 were induced by the UPSI."

DTIL refers to Dish TV India Ltd.