Sebi lifts restrictions on one individual in Gammon Infra case

Sebi today revoked restrictions imposed on an individual in the insider trading matter related to the shares of Gammon Infrastructure Projects Ltd.
The matter pertains to allegations that certain clients traded in the company's shares on the basis of unpublished price sensitive information.
In July 2014, the regulator had barred Abhijit Rajan from the securities market till further directions and the same was confirmed through an order in March 2015.
Rajan was CMD of Gammon Infrastructure Projects till September 20, 2013.
Sebi Whole Time Member S Raman today said that Rajan has already undergone a restraint from July 17, 2014 till date i.E a period of almost two years.

He noted that Sebi has already initiated adjudication proceedings inter alia against Rajan in respect of the same violations alleged in the instant proceedings.

"This being the factual position, I am of the view that no further restraint is required to be imposed on Abhijit Rajan... However, it is made clear that the adjudicating officer shall independently verify the facts and arrive at findings including quantum of penalty, if any, without being influenced by the observations recorded in this order," he said.
Earlier this March, Sebi had directed impounding of more than Rs 1.44 crore jointly and severally, from Rajan, CICPL and its directors -- Kiran Indru Hingorani and Indru B Hingorani -- to prevent possible diversion of unlawful gains.

In compliance with the March order, Rajan and CICPL deposited Rs 1.09 crore and Rs 35.24 lakh, respectively, in escrow accounts.
Considering disgorgement of unlawful gains, Raman today called for transfer of Rs 1.09 crore deposited by Rajan to Sebi and directed releasing Rs 35.24 lakh of CICPL and its two directors.