Insider Trading in RPL

Insider trading is the trading of a corporation's stock or other securities (e.g. bonds or stock options) by corporate insiders such as officers, key employees, directors, or holders of more than ten percent of the firm's shares.

Most of the times, it considers to be "illegal", but the term “insider trading” can also mean the perfectly legal buying and selling of stock by a company’s corporate insiders.

Insider trading is legal when these corporate insiders trade stock of their own company and report these trades to the exchange.Insider trading is only illegal when a person bases their trade of stocks in a public company on information that the public does not know.

On March 18th, “SEBI has informed that it has initiated an examination in the matter”, Mr Pawan Kumar Bansal, Minister of State for Finance, said in a written reply in the Rajya Sabha. Read More on this news

This could be a negative news for RPL with an exception today on account of excellent cues from US and Asian markets.