New regulations being put in place by SEBI to silence the noiseless Insider Trading which is rampant in bourses
Indian bourses are not unfamiliar territories for insider trading. There has been an unstated assessment which holds weightage which mentions that movement in stock prices are substantially driven through such information. When the Rajat Gupta, the ousted director of Goldman Sachs was convicted of insider trading, this spectre of illegal handling of price sensitive information for the benefit of select individuals was splashed on global scale.
India which had its own share of insider trading woes and recently the capital market watchdog, SEBI, is raising its defenses against possible breach of its security cover from wily market participants who might be sniffing at opportunities to circumvent rules and benefit from insider trading. It plans to bring even bureaucrats and judges into the ambit of its net. The idea of SEBI is to bring anyone who has access to price sensitive information which is not in the public domain to be brought into the net of regulations.
