NEW DELHI: The Stock Exchange Board of India (SEBI) has banned NDTV owners Prannoy Roy, wife Radhika Roy, and former Managing Editor Vikram Chandra for two years from trading in stock exchanges for insider trading and rigging of NDTV’s shares in stock exchanges.
Prannoy Roy and his wife are fined more than Rs.16.97 crores at the rate of six percent from 2008. Vikram Chandra, who is a co-accused in this fraud, is fined Rs.6.7 lakhs for insider trading. He is also barred from trading in the stock exchange for one year.
The 99-page SEBI Order details the stock exchange frauds committed by Prannoy Roy who preaches ethics in TV channels. “The gains made by the Noticees (Prannoy Roy & Radhika Roy) have been calculated as the difference between actual sell price i.e. (435.1) received and actual buy price (i.e., ₹400) of 4835850 shares of NDTV incurred by the Noticees.
For the reasons enumerated above and in order to protect the interest of investors and the integrity of the securities market, I, in the exercise of the powers conferred upon me under Section 19 of the SEBI Act, 1992, read with section 11, 11(4) and 11B of the SEBI Act, 1992, hereby issue the following directions:
The Noticees herein, namely, Mr. Prannoy Roy and Mrs. Radhika Roy shall, jointly or severally, disgorge the amount of wrongful gain of ₹16,97,38,335/– as computed in the show cause notice, along with interest at the rate of 6% per annum from April 17, 2008, till the date of actual payment of disgorgement amount along with interest, within 45 days from the date of coming into force of this order.