Insider Trading Presumed When Person Possessing Confidential Information Trades; Profit or Loss Is Irrelevant: Supreme Court

The Supreme Court has ruled that when a person possesses Unpublished Price Sensitive Information (UPSI) and trades in securities during the period when that information remains unpublished, the law raises a presumption of insider trading. The Bench comprising Justice Sanjay Karol and Justice Augustine George Masih set aside the order of the Securities Appellate Tribunal and restored the regulatory action taken by the Securities and Exchange Board of India (SEBI)…