Tech Mahindra matter: Sebi settles case with individual

Sebi has settled a case involving a former Tech Mahindra official L Murali Madhvan, who allegedly violated insider trading norms with respect to sale of the company's shares, after he agreed to pay Rs 4.23 lakh as settlement fee.
It was alleged that Madhvan violated Sebi's (Prohibition of Insider Trading) norms by making delayed disclosure regarding change in shareholding in IT firm Tech Mahindra.
After finding that Madhvan violated norms by making delayed disclosure regarding change in his shareholding at the company, Sebi had initiated adjudication proceedings in February this year.
While further proceedings were underway, Madhvan proposed to settle the proceedings through the settlement mechanism upon payment of Rs 4,23,750 as settlement fee.

Thereafter, Sebi's High Powered Advisory Committee (HPAC) recommended that the matter may be settled on the payment of the amount offered. This was also approved by the panel of whole-time members of Sebi, following which Madhvan remitted the amount in October.
In a settlement order passed today, Securities and Exchange Board of India (Sebi) decided to dispose of the adjudication proceedings initiated against the him.

Sebi said that enforcement actions, including commencing or reopening of the proceedings, could be initiated if any representation made by Madhvan is found to be untrue.
Through a separate order, the watchdog settled a case with Primera Partners Pte Ltd in a matter related to alleged violation of Sebi (Substantial Acquisition of Shares and Takeovers) norms and insider trading regulations.

The case was settled upon payment of Rs 5,78,348 by Primera Partners Pte towards settlement charges.
Under the settlement mechanism, entities can seek to settle cases with the regulator after payment of certain charges and other expenses.