May 19, 2021
P Elango, 2 others charged ₹15 lakh each; firm lured investors with ‘misleading announcement’
Cairn India, the leading oil and gas player that was merged with Vedanta Ltd, has been found guilty of stock market fraud by market regulator SEBI.
The Securities and Exchange Board of India’s investigations found that Cairn misled public shareholders with its share buyback announcement in 2014 that was actually designed to induce the public to trade in the shares of Cairn. SEBI has imposed a fine of ₹5.25 crore on Cairn.
Further, SEBI says that P Elango, the then CEO and Director of Cairn, along with other company directors Aman Mehta and Neerja Sharma facilitated the company in making the said misleading announcement. All the directors have been fined ₹15 lakh each.