Securities and Exchange Board of India (SEBI) has imposed a total penalty of over Rs 22 crore on Aurobindo Pharma, its promoter PV Ramprasad Reddy, his wife P Suneela Rani and other connected entities for violating insider trading norms. The regulator conducted an investigation into the trading in the scrip of Aurobindo Pharma during the period from July 2008 to March 2009 to ascertain the regulatory violation.
The probe found that the promoter entities traded in the scrip of the company based on unpublished price sensitive information (UPSI) pertaining to the company's Licensing and Supply Agreements with Pfizer Inc and made unlawful gains.
Aurobindo Pharma is engaged in manufacturing pharmaceutical products. It offers active pharmaceutical ingredients, intermediates and generic formulations like astemizole, domeperidone and omeprazole; anti-infective, oral and sterile antibiotics, pain management and osteoporosis segments.
