In a significant development, the Securities Appellate Tribunal (SAT) has quashed the Securities and Exchange Board of India’s (SEBI) 2021 order imposing penalties on Mukesh Ambani, Navi Mumbai SEZ, and Mumbai SEZ. The penalty was related to alleged manipulative trades in Reliance Petroleum Ltd shares.
SEBI had imposed a penalty of Rs25 crore on Reliance Industries and Rs15 crore on Mukesh Ambani in January 2021. The SAT bench, led by Justice Tarun Agarwala, overturned this decision, stating that “Sebi’s 2021 order is quashed. In case the penalty has been deposited with respondents (Sebi), it must be returned to the appellants.”
The case revolved around the sale and purchase of Reliance Petroleum Ltd shares in November 2007. SEBI had accused Reliance Industries of engaging in manipulative trading and circumventing position limits.
This decision marks a significant legal victory for Mukesh Ambani and Reliance Industries, challenging SEBI’s penalties in this high-profile case.
