Interglobe Aviation, the company that operates India’s largest airline IndiGo, has settled pending dispute with market regulator Securities and Exchange Board of India (Sebi) by agreeing to settlement charges of Rs 2.1 crore.
The matter pertains to alleged violation of disclosure norms pertaining to related party transactions (RPTs) between the company and IGE Group, controlled by co-founder Rahul Bhatia.
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In May 2020, Sebi appointed an officer to look into complaints filed by another co-founder Rakesh Gangwal. He alleged several violations of corporate governance norms, RPT norms, disclosure norms and misrepresentation in the IPO document in October 2015 at the company
Based on its investigation, Sebi issued a show cause in November to InterGlobe, seeking explanation on several violations.
In December 2020, InterGlobe filed a settlement application with Sebi to settle the matter, without admitting or denying the findings of fact and conclusions of law.
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