By Indu Bhan
Copyright indiatimes
ReutersFILE PHOTO: A general view of the the Securities and Exchange Board of India (SEBI) headquarters in Mumbai, India
New Delhi: The Securities and Exchange Board of India is not required to disclose information on its internal probe into insider trading, as such information is exempt under the Right to Information Act, 2005, the Delhi High Court ruled on Thursday.Dismissing complainant Srishti Rustagi’s petition seeking information of Sebi’s internal probe on allegations of insider trading in a case related to WABCO India, the court said statutory authorities have given reasons as to why and under what circumstances the disclosure of such information may impede the investigation process.These authorities have said that such disclosure may not only affect confidentiality of investigation but may also affect evidence collection and result in unnecessary harm to third parties, a division bench comprising Chief Justice Devender Kumar Upadhyay and Justice Tushar Rao Gedela said, adding that these reasons cumulatively were sufficient not to disclose the information sought by Rustagi. The court noted that the complainant had only sought status of her complaint and not the nature of investigations which, according to the statutory authorities, was already on the SCORES portal.”Apart from the status of the complaint, the nature of investigations, even if sought by the appellant, stands exempted in view of the aforesaid background facts and thus cannot be disclosed,” the short order stated.Rustagi filed a 2021 complaint seeking a detailed probe into WABCO’s offer-for-sale, alleging major allocations to related parties; Sebi partly disposed it, forwarding insider trading allegations for action. While she had sent various emails to Sebi seeking status regarding the investigation with respect to her complaint, the market regulator had not responded. Consequently, the complainant filed an application under the RTI to seek information.Add as a Reliable and Trusted News Source Add Now!
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(You can now subscribe to our Economic Times WhatsApp channel)Read More News onDelhi High Court rulingSebi insider trading inquiriesWABCO India caseWABCO IndiaSecurities and Exchange Board of IndiaSrishti Rustagi complaintRTI Act 2005 exemptionsDelhi High Courtinsider tradingright to information act(Catch all the Business News, Breaking News, Budget 2025 Events and Latest News Updates on The Economic Times.) Subscribe to The Economic Times Prime and read the ET ePaper online….moreless
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