The Securities and Appellate Tribunal (SAT) has set aside the insider trading order passed by SEBI against Atul Kirloskar, Rahul Kirloskar and Nihal Kulkarni.
In a statement issued on Friday, Atul Kirloskar, Rahul Kirloskar & Nihal Kulkarni said, “We are delighted to share that the Hon’ble Securities Appellate Tribunal vide its order dated October 12, 2022, has set aside the insider trading order dated October 20, 2020 passed against us by SEBI on the grounds that there was no unpublished price sensitive information (UPSI) and consequently there was no insider trading by us when we had sold shares of Kirloskar Brothers Limited to Kirloskar Industries Limited in 2010.”
“Consequently, the SAT Order exonerates us from the charges of insider trading and fraudulent trade practices levelled against us by SEBI,” the statement said.
“Further, the SAT order also dismisses the appeal filed by Kirloskar Brothers Limited for enhancement of penalties and disgorgement of amounts against us, on the ground that Kirloskar Brothers Limited is not an aggrieved person by the decision of SEBI, thereby implying that Kirloskar Brothers Limited had no locus to file the appeal in the first place,” the statement said.
The Tribunal’s order strengthens our faith in the Indian justice system, the statement added.