Sebi to look into sale of pledged shares of Reliance’s three firms

Market regulator Securities and Exchange Board of India (Sebi) is looking into allegations and counter-allegations related to the sale of pledged shares of Anil Ambani-led Reliance Group's three listed firms by two lenders, senior officials said on Monday. Reliance Group has accused L&T Finance and Edelweiss Group entities of “illegal” and “motivated” actions in invoking the pledged shares of Anil Ambani group firms and selling them in open market causing a steep fall in share values. L&T Finance and Edelweiss Group have refuted the allegations and have counter-alleged that Reliance Group failed to make timely payments, which they said necessitated sale of pledged shares. Officials said the regulator has asked exchanges to look into the trade details and seek clarifications from the concerned entities regarding open market sale of shares to ascertain whether any norm was breached in the process. The regulator will examine whether there was any violation of regulations relating to insider trading and disclosure norms.