Sebi forms panel to review insider trading norm

The Securities and Exchange Board of India (Sebi) has formed a high-level committee to review insider trading regulations.

"To ensure the regulatory framework dealing with insider trading in India is further strengthened, Sebi seeks a review of the extant Insider Trading Regulatory regime in India," Sebi said in a release.

The 15-member committee will be chaired by N K Sodhi, former presiding officer of the Securities Appellate Tribunal (SAT). Some members of the committee would be Darius Khambata, advocate general of Maharashtra; Rajeev Luthra, managing partner, Luthra & Luthra; Nirmal Jain, chairman and managing director, India Infoline; and Motilal Oswal, chairman and managing director, Motilal Oswal Financial Services.

The current insider trading regulations -- Sebi (Prohibition of Insider Trading) Regulations, 1992 -- were notified two decades ago.

Last month, Finance Minister P Chidambaram had said, "We have to ensure that there are no instances of insider trading, to bring back retail investors in a big way."