Bansal Wire Promoter Settles Insider Trading Case with SEBI

New Delhi, May 5 (PTI) A promoter of Bansal Wire Industries has settled a case pertaining to alleged violation of insider trading rules after paying Rs 16.89 lakh towards the settlement amount.

Apart from the settlement amount, promoter Ruchi Gupta also shelled out Rs 24.52 lakh towards disgorgement along with 12 per cent interest from the date of the alleged default till the date of action taken by the company i.e. from July 15 to September 3, 2024.

Ruchi Gupta, who is an immediate relative of several designated persons of the company, including her brother Pranav Bansal, the company's MD and CEO, had filed a suo-motu application under Sebi's settlement rules.

Gupta sought to resolve enforcement proceedings that may be initiated against her for the alleged violation of insider trading norms by proposing to settle by neither "admitting nor denying the findings of fact and conclusions of law".


As per the settlement order, the markets watchdog will not initiate enforcement against Gupta for the violations. However, Sebi retained the right to take further action, if any misrepresentation is discovered or if she breaches any terms of the settlement.

"...it is hereby ordered that any proceedings that may be initiated for the violations as are settled in respect of the applicant (Ruchi Gupta), Sebi's whole time members Ananth Narayan G and Amarjeet Singh said in the order passed on Friday.

Pursuant to the receipt of the settlement application, Ruchi Gupta filed revised settlement terms which was approved by Sebi's High Powered Advisory Committee.

Subsequently, the applicant paid the settlement as well as the disgorgement amount which was confirmed by the markets watchdog and settled the matter with Sebi.