Home / Business and Economy / SEBI Fines Refex CMD ₹10 Lakh for Insider Trading
SEBI Fines Refex CMD ₹10 Lakh for Insider Trading
14 Dec
Summary
- SEBI imposed a ₹10 lakh penalty on Refex Industries CMD Anil Jain.
- The penalty is for alleged insider trading involving unpublished financial results.
- Jain disputes the order and plans legal recourse.
Chennai-based Refex Industries Limited announced that its Chairman and Managing Director, Anil Jain, has been penalized ₹10 lakh by the Securities and Exchange Board of India (SEBI). This action is in response to allegations of insider trading concerning the company's stock.
SEBI's order indicates that Jain allegedly communicated unpublished price-sensitive information regarding Refex Industries' March 2023 financial results. These results, which showed a significant increase in revenue and profit, were reportedly shared before their public announcement. SEBI cited call data records between Jain and a family trust trustee as evidence for the alleged information dissemination.
Anil Jain has publicly stated his intent to challenge the SEBI order, expressing confidence in his ability to defend his position through the legal process. The penalty comes shortly after tax authorities conducted search operations at Refex's Chennai office and associated locations, with the company's stock experiencing a significant decline on Friday.
