SEBI Imposes Penalty on Rashmi Saluja for Insider Trading with REL Shares

The Securities and Exchange Board of India (SEBI) has fined Rashmi Saluja, former executive chairperson of Religare Enterprises, Rs 40 lakh for insider trading. Saluja sold REL shares based on unpublished information, avoiding a loss of Rs 1.99 crore. SEBI ordered her to disgorge the wrongful gains plus interest.

On Wednesday, the Securities and Exchange Board of India (SEBI) levied a Rs 40 lakh penalty on Rashmi Saluja, the former executive chairperson of Religare Enterprises. She has been ordered to return wrongful gains of approximately Rs 2 crore, achieved through the sale of company shares on unpublished insider information.

The case involves Saluja selling shares of Religare Enterprises Limited based on non-public information about the Burman Group's forthcoming open offer to REL shareholders. The SEBI investigation found that Saluja's actions helped her avoid losses close to Rs 1.99 crore by acting on insider information before its disclosure.

The decision follows a complaint from the Burman Group in November 2023. The investigation determined that Saluja's trading between September 20 and 25, 2023, violated insider trading norms. SEBI mandated the recovery of the avoided loss alongside a simple annual interest rate of 12% and enforced a sizable penalty to uphold market integrity.