SEBI today slapped a fine of more than Rs 1 crore on wind turbine maker Suzlon Energy Limited for violating insider trading norms.

SEBI imposed a total fine of Rs. 1.1 crore includes Rs. 5 Lakhs on the officials.  The company failed to disclose price sensitive information as required under the listing regulations on “more than one occasion“.

“I find that the investigation did not bring out the disproportionate gain or unfair advantages to the noticees and loss caused to investors as a result of non-disclosure of truncation of order.

Disclosure failed due to more than one occassion. Hence its of repeated nature.  SEBI’s Adjudicating Officer Sahil Malik said in the order.Suzlon Energy Limited and its officials were noticees in the case.

Tulsi Tanti is Chairman and Managing Director while Girish Tanti is a Director. Kanuga and the compliance officer fined for Rs. 5Lakhs. According to information available on BSE, Kanuga is currently company secretary.

The violations pertain to failure to make certain corporate announcements about orders received by the company. The regulator looking into announcements made during the period from April 1, 2006 to March 31, 2009. Certain specific orders observed.SEL had’nt informed the stakeholders about the truncation or cancellation.

It also contended that the orders so received and disclosed. Movement in price not observed.

“It was alleged that around 18.8 per cent of the order received by Noticee 1 (Suzlon) and informed by way of various corporate announcements were either not opted for by the clients or were not executed. It was also alleged that no specific corporate announcement was made by the noticees to inform stakeholders about the same,” SEBI noted.

Final Words

SEL timely disclosed to the stock exchange. Price sensitive information not considered. Hence, SEBI imposed a fine of Rs. 1 crore on Suzlon Energy Limited. SEBI imposed the right. It violated the insider trading norms as a whole.