Markets regulator Sebi has imposed a total fine of Rs 12 lakh on Mallya Pvt Ltd and Pharma Trading Co for disclosure lapses in the matter of United Breweries (Holdings).
As per Sebi order, Mallya Pvt Ltd and Pharma Trading were promoters of the United Breweries (Holdings) Ltd (UBHL) at the time of violation.
In 2012, UBHL availed a loan from LKP Finance and kept 60 lakh shares as security which included 24 lakh shares of Mallya Pvt Ltd and 3.8 lakh shares of Pharma Trading.
The regulator following an investigation found that the share transfer by UBHL and promoter group entities including Mallya Pvt Ltd and Pharma Trading to LKP Finance and subsequent receipt of scrips from LKP required disclosures under SAST (Substantial Acquisition of Shares and Takeovers) norms and Insider Trading provisions.
However, both entities failed to make requisite disclosures, Securities and Exchange Board of India (Sebi) said in separate orders.
Accordingly, a penalty of Rs 6 lakh each was imposed on both entities.
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