SAT stays Sebi order banning Kishore Biyani, other Future promoters

The Securities Appellate Tribunal (SAT) has stayed an order passed by regulator Sebi that had banned Future Retail chairperson Kishore Biyani and some other promoters from the securities market for one year, and has listed the matter for final disposal on April 12.

On February 3, markets watchdog Sebi had barred Kishore Biyani and certain other promoters of Future Retail Ltd from the securities market for one year for indulging in insider trading in the shares of the company.

In addition, the regulator had imposed a fine of Rs 1 crore each on Kishore Biyani, Anil Biyani and Future Corporate Resources. They were asked to disgorge Rs 17.78 crore of wrongful gains made by them.

In an order dated February 15, the tribunal said, ''The matter would be listed for admission and for final disposal on April 12, 2021.'' ''In the meantime, the effect and operation of the impugned order shall remain stayed provided the appellants deposit a sum of Rs 11 crore within four weeks from today,'' the order said.

The deposited amount will be kept in a separate interest bearing account and would be subject to the result of the appeal.

''In a hearing held on February 15, 2021, the Securities Appellate Tribunal has stayed the effect and operation of SEBI's order accusing the promoters of the Future Group of insider trading in the context of purchases of Future Retail shares made in March 2017,'' Future Corporate Resources Private Limited (FCRPL) said in a statement on Tuesday.

The development comes at a time when Future Group is locked in a legal battle with e-commerce giant Amazon over the former's Rs 24,713-crore deal with Reliance Industries (RIL). FCRPL is one of the promoters of Future Retail.

In August last year, Future Group had entered into a deal with billionaire Mukesh Ambani's RIL to sell its retail, wholesale, logistics and warehousing units.