Poonawalla Fincorp CEO ban revoked

Mumbai: Markets regulator

Sebi

has revoked its earlier order barring

Poonawalla Fincorp

MD

Abhay Bhutada

from the securities market after probe concluded that he had not parted with price-sensitive information.

In September 2021, the regulator had passed an interim order where it restrained Bhutada and others from dealing in securities until further orders. The order was confirmed in March this year. In the interim order, Sebi said that the CEO of the finance company had parted with UPSI (unpublished price-sensitive information) to certain entities who had traded in the scrip of

Magma Fincorp

, which was acquired by the

Poonawalla

Group and renamed Poonawalla Fincorp.

“Pursuant to the investigation, it was found that Abhay Bhutada had not communicated UPSI. As regards other entities, proceedings are ongoing,” Sebi said. In the order, Ananta Barua, whole-time member of Sebi, said he was revoking the earlier order by exercising the powers conferred upon him under section 19 of the Sebi Act, 1992 read with sections 11, 11(4) and 11B of the Sebi Act, 1992.