Religare chief broke insider trade laws: Burmans
Religare Enterprises Ltd, violated insider trading laws by selling shares of the financial services company immediately before the launch of their open offer on 25 September. A Religare spokesperson rejected the allegation, saying the sale was pre-planned. In a 7 November letter to the Securities and Exchange Board of India (Sebi), four investment firms of the Burman family flagged Saluja’s trades on 21 and 22 September, since they had not received any response after raising the issue with the board of Religare.
“We have not received any response from the company (Religare). Neither have we been informed of any specific action the company intends to take. Given the serious nature of the issues, we request you to examine the trades in detail and take necessary action," the letter said.
The letter to Sebi follows a previous missive to Saluja and the Religare board, where the investment firms had pointed out that she sold Religare shares worth ₹34.71 crore after being made aware of the Dabur promoters’ intention to make an open offer to Religare shareholders and assume control in a 20 September meeting with their representative, Arjun Lamba. The meeting is said to have lasted for 45 minutes. The information was communicated to Saluja on a confidential basis in her “professional capacity as executive chairperson of the company," read this letter to Saluja, dated 26 October.
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