Ongoing troubles for NDTV founders Prannoy Roy and his wife Radhika Roy are increasing with every passing day. In the latest order, the Securities Appellate Tribunal (SAT) has ordered the couple to deposit 50% of the disgorged amount, which they earned fraudulently through insider trading of NDTV shares, before market regulator Security Exchange Board of India (SEBI) within the upcoming four weeks.
It further said that if they deposit the said amount within the said time, the media network NDTV will not be required to make the payment of the balance amount during the pendency of the appeal before SAT.
As per the data by SEBI the couple needs to pay a full amount of Rs. 16.97crore with 6% interest per annum, which has to be paid either jointly or individually.
The couple has been prohibited from trading in securities for two years for their fraud of insider trading by SEBI and were directed to return the illegal gain of Rs.16.97crore which they gained from insider trading for more than 12 years. The couple has also filed an appeal against this SEBI order which was passed in November.
NDTV is involved in the fraud which amounts to 16.97crore, as the couple bought 48,35,850 NDTV shares on 26 December, 2007 at the rate of Rs. 400 per share, on 17 April, 2008 they sold 49,13,676 shares at the rate of Rs. 435.10 per share. This is how they gained total amount of Rs. 16,97,38,335 on 48,35,850 shares which they bought during the UPSI period.
SEBI revealed after conducting an investigation that, the couple have violated the Prohibition of Insider Trading (PIT) Regulations and also they are accused of possessing Unpublished Price Sensitive Information (UPSI) during 2007-2008 which were related to discussion of reorganization of New Delhi Television Ltd.
