On May 17, 2024, the Securities and Exchange Board of India (SEBI) issued amendments to the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015. These amendments, effective upon publication in the Official Gazette, refine the definition of insider trading. Specifically, they clarify that insider trading shall not include unverified events or information reported in print or electronic media. Additionally, adjustments are made to the note associated with regulation 2, providing further clarity on what constitutes unpublished price-sensitive information.
SECURITIES AND EXCHANGE BOARD OF INDIA
NOTIFICATION
Mumbai, the 17th May, 2024
SECURITIES AND EXCHANGE BOARD OF INDIA (PROHIBITION OF INSIDER TRADING)
(AMENDMENT) REGULATIONS, 2024
No. SEBI/LAD-NRO/GN/2024/181 ─ In exercise of the powers conferred by section 30 read with clause (g) of subsection (2) of section 11 and clauses (d) and (e) of section 12A of the Securities and Exchange Board of India Act, 1992 (15 of 1992), the Board hereby makes the following regulations to further amend the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015, namely: —
1. These regulations may be called the Securities and Exchange Board of India (Prohibition of Insider Trading) (Amendment) Regulations, 2024.
2. They shall come into force on the date of their publication in the Official Gazette.
3. In the Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015, in regulation 2, in sub-regulation (1), in clause (e), –
I. after the words “non-discriminatory basis” and before the symbol “;”, the words “and shall not include unverified event or information reported in print or electronic media” shall be inserted;
II . in the NOTE thereto, –
(1) after the words “appreciate what” and before the words “unpublished price”, the word ‘constitutes” shall be inserted;
(2) the word “is” appearing after the words “unpublished price sensitive information” and before the symbol “.” shall be omitted.
BABITHA RAYUDU, Executive Director
[ADVT.-III/4/Exty./129/2024-25]
Footnotes:
1. The Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015 was published in the Gazette of India on January 15, 2015 vide No. LAD-NRO/GN/2014-15/21/85.
2. The Securities and Exchange Board of India (Prohibition of Insider Trading) Regulations, 2015, were subsequently amended on:
i. December 31, 2018 by the Securities and Exchange Board of India (Prohibition of Insider Trading) (Amendment) Regulations, 2018 vide No. SEBI/LAD-NRO/GN/ 2018/59.
ii. January 21, 2019 by the Securities and Exchange Board of India (Prohibition of Insider Trading) (Amendment) Regulations, 2019 vide No. SEBI/LAD-NRO/GN/ 2019/02.
iii. July 25, 2019 by the Securities and Exchange Board of India (Prohibition of Insider Trading) (Second Amendment) Regulations, 2019 vide No. SEBI/LAD-NRO/GN/ 2019/23.
iv. September 17, 2019 by the Securities and Exchange Board of India (Prohibition of Insider Trading) (Third Amendment) Regulations, 2019 vide No. SEBI/LAD-NRO/GN/ 2019/32.
v. July 17, 2020 by the Securities and Exchange Board of India (Prohibition of Insider Trading) (Amendment) Regulations, 2020 vide No. SEBI/LAD-NRO/GN/ 2020/23.
vi. October 29, 2020 by the Securities and Exchange Board of India (Prohibition of Insider Trading) (Second Amendment) Regulations, 2020 vide No. SEBI/LAD-NRO/GN/ 2020/38.
vii. April 26, 2021 by the Securities and Exchange Board of India (Prohibition of Insider Trading) (Amendment) Regulations, 2021 vide No. SEBI/LAD-NRO/GN/ 2021/17.
viii. August 05, 2021 by the Securities and Exchange Board of India (Prohibition of Insider Trading) (Second Amendment) Regulations, 2021 vide No. SEBI/LAD-NRO/GN/ 2021/37.
ix. November 24, 2022 by the Securities and Exchange Board of India (Prohibition of Insider Trading) (Amendment) Regulations, 2022 vide No. SEBI/LAD-NRO/GN/2022/108
