Sebi today slapped a fine of more than Rs 1 crore on wind turbine maker Suzlon Energy for violating listing agreement norms.
A total fine of Rs 1.1 crore, including Rs 5 lakh on an official, has been imposed as the company failed to disclose price sensitive information as required under the listing regulations on “more than one occasion”.
Tulsi Tanti is Chairman and Managing Director, Girish Tanti is an Executive Director and Kanuga, who has been fined Rs 5 lakh, is compliance officer of the firm.
The violations pertain to failure to make certain corporate announcements about orders received by the company. The regulator looked into announcements made during the period from April 1, 2006 to March 31, 2009.
The clients in regard to whom the cancellation of orders were not disclosed were Reliance Energy, P R China and DLF Home Developers.
“All the three clients are big names in their own rights. Timely disclosure of the cancellation may have had an impact on the price of the scrip.
The order also noted that Suzlon Energy violated PIT (Prohibition of Insider Trading) Regulations, which directs a company to give price sensitive information to stock exchanges on a continuous and immediate basis, so Sebi was forced to slap this fine.