Reliance Industries unit fined Rs 11 crore for insider trading

The Securities and Exchange Board of India (Sebi) has fined a unit of energy conglomerate Reliance Industries Ltd Rs 11 crore over a 2007 insider trading case.

The company, Reliance Petroinvestments Ltd, has 45 days to pay the fine, the Sebi said in its ruling published late on Thursday.

The regulator said Reliance Petroinvestments made a profit of Rs 3.83 crore through several trades between February and March 2007 that were based on inside information.

The trades preceded a major announcement about a dividend declaration and the merger of a group company.

The deals were financed through an interest-free loan by a wholly-owned unit of Reliance Industries, according to the order on the regulator's website.

A Reliance Industries spokesman did not respond to telephone calls.

Copyright: Thomson Reuters 2013