WhatsApp leaks: Axis Bank gives clean chit to its officials in report to regulator
NEW DELHI: Axis Bank Ltd has ruled out any leakage of information from the bank in a report submitted to the markets regulator on the alleged leaks of pricesensitive information on WhatsApp groups ahead of its Junequarter results last year, two people with direct knowledge of the matter said.
“The bank has submitted its report and relevant findings in the stipulated time. It has committed to further tightening the internal mechanisms while dealing with price sensitive information,” one of the two people mentioned above said on condition of anonymity.
On December 27, the Securities and Exchange Board of India (Sebi) had asked Axis Bank to conduct an internal inquiry into the suspected leak of its JuneMotors quarter financial results on WhatsApp groups and pinpoint the source of unpublished price sensitive information (UPSI).
The deadline for submitting the probe report expired in the second week of April.
Financial figures pertaining to the quarterly results of Axis Bank were either identical or matched closely with those in circulation prior to the official announcement of the results, Sebi had said in the order.
The regulator has so far asked Axis Bank, HDFC Bank Ltd, Tata Ltd and Bata India Ltd to conduct internal inquiries and strengthen their systems.
“The bank has ruled out any inside leakages as none of the officials handling results were found to be violating the model code of conduct (norms which protect inside information). In the report, the bank has also committed to increasing its scrutiny of third parties such as statutory auditors who are typically provided with financial results before they are made public. It has also informed Sebi that it follows the highest compliance standards and has further tightened norms to treat price sensitive information,” said the second of the two people quoted above.
A spokesperson for Axis Bank declined to comment on an email query sent on Wednesday.
An email sent to capital markets regulator Sebi remained unanswered.