SAT modifies Sebi order against Yashraj Containeurs, 3 others

Modifying Sebi's order, the Securities Appellate Tribunal (SAT) today reduced the debarment period to two years on Yashraj Containeurs and its three promoters, who had violated insider trading norms.
Sebi had restrained the four entities for a period of five years from the capital market.
These entities were found to have violated insider trading rules as well as indulged in fraudulent trading activities.
In January, the regulator had barred Yashraj Containeurs and its three promoters -- Jayesh Valia, his wife Sangeeta Valia and Vasparr Shelter (a group firm) -- for violating insider trading norms and concealing the information related to their shareholding.

"The impugned order dated January 13, 2016 is modified by restricting the restraint order passed against the appellants from 5 years to 2 years," SAT said in its order.
The tribunal noted that the violations were committed by the entities in 2005-06 after which Sebi in 2009 had slapped a penalty of Rs 30 lakh which was paid by them.
Besides, the regulator was directed by the tribunal in December 2010 to initiate further action against the four entities. However, Sebi took action after a delay of more than two years, SAT said.
"There is nothing on record to suggest that in all these years the appellants have violated any of the securities laws. In these circumstances, in our opinion, it would be just and proper to restrict the restraint order for a period of two years," the tribunal said.