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Section 15G

Penalty for Insider Trading.

The Securities and Exchange Board of India Act, 1992
1[15G. Penalty for insider trading.-- If any insider who,

(i) either on his own behalf or on behalf of any other person, deals in securities of a body corporate listed on any stock exchange on the basis of any unpublished price sensitive information; or

(ii) communicates any unpublished price sensitive information to any person, with or without his request for such information except as required in the ordinary course of business or under any law; or

(iii) counsels, or procures for any other person to deal in any securities of any body corporate on the basis of unpublished price sensitive information,

shall be liable to a penalty 2[which shall not be less than ten lakh rupees but which may extend to twenty-five crore rupees or three times the amount of profits made out of insider trading, whichever is higher].]




1. Ins. by Act 9 of 1995, s. 9 (w.e.f. 25-1-1995). br
2. Subs. by Act 27 of 2014, s.12, for certain words (w.e.f.8-2-2014).