Senators insider trading case: How insider trading was covered in Parliament
New Delhi: Amid the chaos of the Lok Sabha election, the Indian Parliament has been rocked by allegations of insider trading.
The allegations, if true, would make for an explosive chapter in the countrys history.
The case has been in the news again, with allegations of collusion between senior Congress leaders and traders from the Indian Exchange.
What are the main allegations and what is the evidence?
What does insider trading look like?
How did insider trading become a serious problem in India?
The Indian government is accused of complicity in the illegal and illegal trading of stocks in India.
The Securities and Exchange Board of India (Sebi) said it was investigating how insider trading in the stock market has developed.
A senior official told Reuters that the Sebi has received complaints of insider-trading since November.
The Sebilas own shares in Tata Motors, the Tata Group and Infosys, as well as stakes in two private companies.
The government has denied the allegations.
The Indian Securities and Exchanges Board (ISA) is a statutory body that is tasked with enforcing stock markets.
The Board, which has been accused of facilitating insider trading by the senior Congress and the Opposition in the Lokas Sabha elections, is investigating whether any insider trading has occurred.
The issue has been raised before the Supreme Court in a case that involves allegations that the government was involved in the creation of a cartel of large traders.
According to the charges, senior Congress leader Prakash Javadekar allegedly bought and sold stock on behalf of his family.
The charges have also alleged that former Congress leader Rajnath Singh also took stock of the stocks.
According to a report by the Financial Express, two other senior Congress figures were named in the case.
According a source, Javadek had bought shares in the Tata Motors shares at a low price to curry favour with the stockbrokers.
In return, he got a share in Infosia.
When the Tata shares started falling in value, Javadkar bought a larger stake in InfoSia to take advantage of the stock price.
The charges are based on a series of emails sent between senior leaders in the Congress and its allies in the Opposition.
A series of documents leaked to the Financial Times have indicated that Congress leader Vinod Tawde, who was the party’s finance minister in the 2014-15 parliament, was also involved in a scheme that saw Congress leader Uma Bharti gain an extra 1.4 per cent of Tata Motors.
The email also says that Tawdere was involved with the sale of Tata shares to the family of Tawdeen, the finance minister of the BJP-ruled states of Maharashtra and Andhra Pradesh.
In an email to the Congress, Tawdaev wrote: “I am a member of the Tata family.
I am also the chairperson of the SSE board.”
The Congress is accused that Javadeh and Tawdhre had the intention to buy up Tata shares so that Bhartiben could make a fortune from the sale.
The Sebiar, the party spokesperson, said the allegations are “unfounded and unfounded”.
Tata Motors has denied wrongdoing.
It has said that TAWDERE and Javadehr had the idea of buying shares in an attempt to increase the share price of the company.
“The alleged transactions were initiated by a member and did not involve any official functions or activities of Tata Group,” the Tata Sons and the Tata Corporation said in a statement.
“We have never bought shares from any investor and we do not believe any information in these emails has any relevance to our operations or business.
The accusations against our executives are totally baseless and unfounded.”
According to a statement by Tawdad, the alleged transactions took place in March-April 2016 and TAWDOER was the chairman of the board.
The statement said TAWDE had bought a stake in Tata shares for Rs 1,700 crore.
Tata Sons said in the statement that the charges are baseless and baseless.
“The allegations against the executives are baseless, unfounded and baseless,” the statement said.
“It is important to point out that the companies have a long-standing policy of providing investors access to the shares in their portfolio.”
The charges have drawn criticism from the US Congress, which called the charges “troubling”.
The US House of Representatives has called for the suspension of the appointments of the three top Indian politicians to the boards of two private stockbroking firms.
“This investigation into insider trading and manipulation of Indian stock markets is extremely troubling,” said Congressman Peter DeFazio, the ranking Democrat on the House Financial Services Committee.
“If these allegations are true, they will do serious damage to the economy and our ability to protect American jobs.”
Congress is also expected to call for the appointment of an independent monitor to examine allegations that a number of lawmakers were involved in insider trading activities in the US and the Indian markets.
Congress is currently holding a hearing