The Securities Exchange Board of India has barred NDTV promoters Prannoy Roy and Radhika Roy from accessing the securities market for two years for alleged violation of insider trading regulations, PTI reported on Saturday.
SEBI also directed the NDTV promoters to relinquish illegal gains worth over Rs 16 crore for their in involvement in insider trading.
NDTV, meanwhile, said in a statement that its promoters will immediately file an appeal against the order. The news network said that SEBI’s order was based on an “inaccurate assessment of facts” and will not withstand scrutiny in appeal.
NDTV also said that SEBI had fined its three former senior executives, including the former chief executive officer and the chief financial officer.
SEBI had in 2019 also barred Prannoy Roy and Radhika Roy from the market for a period of two years. It has also stopped them from holding any managerial posts in the news network.
The markets regulator had initiated an investigation after an NDTV shareholder claimed that Prannoy Roy, Radhika Roy and RRPR Holdings (another promoter of the news channel) had not disclosed information about loan agreements they entered into with a company known as Vishvapradhan Commercial. ICICI Bank was also part of this agreement. The SEBI investigated the period from October 14, 2008, to November 22, 2017, to make its assessment.