Jaiprakesh chairman faces down insider trading allegations

India-based Jaiprakesh Associates chairman and CEO, Shri Manoj Gaur defended his alleged violation of insider trading regulations in a corporate statement on 6 January. Manoj Gaur, his wife and his brother were each fined INR 1M (USD 18,986).

The order of the adjudicating officer, posted on the Securities and Exchange Board of India (SEBI) website on 5 January was in judgement of share purchases. Some 1,000 made by Manoj Gaur’s wife and 7,400 by his brother between 13 and 16 October 2008.

Manoj Gaur said the purchases were not made based on any insider information and that the shares were never sold. He added, “The findings in the order are completely erroneous and contrary to factual position. It is unfortunate that despite adequate representation to the adjudicating officer, frivolous inferences have been drawn. Aggrieved by the order, we are in the process of challenging the same before the Securities Appellate Tribunal.”