Nestle India has not disclosed the identity of anyone involved in this.
“Our Compliance Officer has received an administrative warning from SEBI Deputy General Manager for a violation of SEBI (Prohibition of Insider Trading) Rules (violation of the 2015 (“PIT Regulations”),” he said.
Later in the statement, a spokesman for Nestlé India said it would not have a significant impact on the company.
“We would like to make a clear claim that this information will not affect the company’s financial and operational capabilities. This information is provided in accordance with Rule 30 of the SEBI Listing Rules,” Nestrainedia said.
Insider trading is one of the most serious malpractices present in the market. We sell or buy securities such as fairness and bonds by company insiders, including employees, directors, executives and promoters.
To prevent such conduct and promote fair trading in the market for the benefit of a common investor, SEBI prohibits companies from purchasing their shares from the secondary market.
