Archive · 4 Sep 2025
SEBI Chair Urges Banks to Strengthen Insider Trading Controls
The head of India's market regulator, SEBI, Mr. Pandey, spoke to bank leaders about keeping secrets safe.
He wants banks to improve their rules so that employees only use sensitive info when needed.
Weak rules allow insider trading, like when someone uses secret info to make money from stocks.
It's like protecting top-secret files.
Pandey wants strict accountability for all secret information, clear guidelines, and regular training to stop anyone from breaking these rules.
SEBI Chairman Tuhin Kanta Pandey addressed managing directors and chief executives of listed banks.
The focus was on insider trading regulations and strengthening internal controls.
Weak internal controls are a prime reason behind insider trading.
Banks must prioritize safeguarding unpublished price-sensitive information (UPSI).
This follows Sebi's interim order against IndusInd Bank executives for violating insider trading norms.
- Who
- SEBI Chairman Tuhin Kanta Pandey
- What
- Emphasized the need for banks to strengthen internal controls and adhere to insider trading regulations.
- When
- Not explicitly mentioned, but implied to be a recent address.
- Where
- Meeting with managing directors and chief executives of listed banks.
- Why
- To prevent insider trading violations and ensure the integrity of financial markets.
- Regulatory Body
- Securities and Exchange Board of India (SEBI)
- Focus
- Insider Trading Regulations
- Target Audience
- Managing Directors and CEOs of Listed Banks
- Key Issue
- Weak Internal Controls
- Action
- Strengthened Internal Controls
- Related Case
- IndusInd Bank Insider Trading Investigation
Sources
SEBI chief asks bank heads to strenghten insider trading compliance
Tighten controls to prevent insider trading: SEBI
Sebi Alerts Listed Banks To Tighten Internal Controls To Guard UPSI
'Today, A Single Leak Can Travel Across Digital Networks In Seconds'