January, 2025 - MMJC - Page 2

Background Unpublished Price Sensitive Information [‘UPSI’] is the most important aspect when it comes to enforcement of provisions relating to prohibition of insider trading. It is important to identify the flow of UPSI within and outside the organisation. Securities Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015 (‘PIT Regulations’) makes it mandatory for

Understanding UPSI and its Regulatory Implications Before delving into specific cases, it’s essential to grasp the concept of UPSI and its regulatory implications. UPSI refers to crucial information that has not been disclosed to the public and, if revealed, can significantly impact the price of securities. Regulatory bodies like the Securities and Exchange Board of

Introduction Compliance Officer under Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015 [‘PIT Regulations’] is responsible for administering the code of conduct and other requirements under PIT Regulations[1]. Model Code of conduct as per PIT Regulations states that compliance officer would be responsible for closure of trading window, granting pre-clearance, relaxing

Introduction: In the intricate landscape of financial regulations, the role of a compliance officer stands as a crucial linchpin in ensuring adherence to the law. Amidst family disputes, particularly in contexts involving insider trading regulations, the responsibilities and challenges faced by compliance officers take on a multifaceted and delicate nature. A bird eye’s view on

Background: Prior to April 1, 2019, “Material events in accordance with the listing agreement” was considered as Unpublished Price Sensitive Information [‘UPSI’].  Regulation 2 (1) (n)(vi) of the Securities and Exchange Board of India [Prohibition of Insider Trading] Regulations, 2015 [“PIT Regulations”] provided for the same. Regulation 2(1)(n) (vi) was omitted pursuant to the amendment

Introduction Securities Exchange Board of India (‘SEBI’) vide its circular dtd June 25,2024 has come up with second amendment to SEBI (Prohibition of Insider Trading) regulations, 2015 (‘SEBI PIT’). The effective date of this amendment is ninetieth day from the date of publication in the Official Gazette which shall be September 23rd, 2024. About Trading

Introduction: Securities and Exchange Board of India (Prohibition of Insider Trading), Regulations 2015 [‘PIT 2015’] defines ‘Unpublished Price Sensitive Information (UPSI)’ as follows: Unpublished Price Sensitive Information means any information relating to company or its securities that is not generally available which upon becoming generally available is likely to materially affect the price of securities

Proxy advisors are intermediaries registered with Securities and Exchange Board of India (‘SEBI’) who provide guidance to shareholders for voting on resolutions proposed by listed companies. Guidance on voting to shareholders is based on proxy advisory voting guidelines. Resolutions proposed by companies are assessed on these parameters and then guidance is provided to shareholders. These

Introduction In the first article on subject matter, we saw the relevance of giving legal disclosures and disclosures that are necessary. In this article we would be focusing on recommendations made on ‘Governance Concern’ by proxy advisors resolutions pertaining to approval of material related party transactions. Governance concerns are pertaining to ‘why’ this transaction is