Moneycontrol PRO
Check Credit Score
Check Credit Score
HomeNewsBusinessStocks

Future Group stocks plunge as SEBI bans CEO from securities market, imposes fine

SEBI also imposed a penalty of Rs 3.7 crore on Biyani, four others, and related entities.

February 04, 2021 / 09:47 AM IST
 
 
live
  • bselive
  • nselive
Volume
Todays L/H
More

The Future Group stocks remained under pressure after market regulator Securities and Exchange Board of India (SEBI) barred the Future Group's CEO Kishore Biyani from accessing the securities market for a year.

The Securities and Exchange Board of India (SEBI) said Biyani and brother Anil, who was also banned from the securities market, traded in shares of Future Retail Ltd (FRL) through another unit using unpublished price sensitive information.

This happened between March 10, 2017, and April 20, 2017, when certain businesses of FRL were recast, causing its share price to rise, it said.

Also Read - SEBI bans Future CEO Kishore Biyani from securities market in insider trading case

SEBI found the Biyanis opened a trading account for a business named Future Corporate Resources Private Limited (FCRPL), which traded in FRL’s shares before the decision to demerge certain businesses was made public.

In a statement, Future said it will challenge the order. “The SEBI Order is untenable since it treats a well-anticipated and publicly well-known impending reorganisation of the home furnishing businesses that the Future Group effected in 2017 to be unpublished information," it said, adding that the order will not affect its deal with Reliance Industries Ltd.

SEBI also barred Biyani, a few related entities and three others from trading in Future Retail shares for two years and imposed a penalty of Rs 3.7 crore on Biyani, four others, and related entities.

At 09:21 hrs Future Lifestyle Fashions was quoting at Rs 83.95, down Rs 4.40, or 4.98 percent and Future Retail was quoting at Rs 73.75, down Rs 3.85, or 4.96 percent.

Future Supply Chain Solutions was quoting at Rs 96.10, down Rs 5.05, or 4.99 percent, Future Consumer was quoting at Rs 7.85, down Rs 0.30, or 3.68 percent and Future Enterprises was quoting at Rs 11.05, down Rs 0.55, or 4.74 percent on the BSE.

Moneycontrol News

Discover the latest business news, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!

Advisory Alert: It has come to our attention that certain individuals are representing themselves as affiliates of Moneycontrol and soliciting funds on the false promise of assured returns on their investments. We wish to reiterate that Moneycontrol does not solicit funds from investors and neither does it promise any assured returns. In case you are approached by anyone making such claims, please write to us at grievanceofficer@nw18.com or call on 02268882347