A Lion’s eye on the Bulls and Bears

“In India, companies may fall sick, but promoters rarely do!”

Gaurav's Blog


Day: May 23, 2015

Well Done SEBI in 2015 for the Sabero Organics Insider Trading in 2011 !

On May 31,2011,while the Iron was yet Hot, I had blogged extensively giving vivid details of the Blatant Insider Trading in Sabero Organics before the announcement that it was being acquired at Rs 160…The Price was just Rs 58 ! in mid May 2011 and flew in the second fortnight of May 2011 just prior to the the Takeover announcement

Coromandel International this morning ?..BSE and SEBI need to quickly investigate and Leading Newspapers need to quickly highlight

Tuesday, May 31st, 2011

Well Done SEBI in 2015 for the Sabero Organics Insider Trading in 2011 !

Finally SEBI nailed A Vellayan,the Chairman of Coromandel International (CI)  and others for their role in the blatant Insider Trading in Sabero Organics (SO) in  May 2011 before  CI announced they were acquiring SO at a price three times more than what it was quoted prior to aggressive buying before making the announcement…Here is their Order

It’s an Eight Page SEBI Order by Whole time Director Prashant Saran of SEBI

A Vellayan,Chairman of CI and EID Parry of the Murugappa Group has been accused too with Saran stating that unpublished price sensitive information (UPSI) must have been communicated by Mr Vellayan to his distant relative and accused A.R. Murugappan who is the father in law of accused V Karuppiah who in turn was a friend of chief accused Gopalkrishnan C who was funded Rs One Crore to buy Sabero Organic Shares by A R Murugappan

Group Spokesman said that in keeping with family values and tradition, A Vellayan has stepped aside as the Chairman of the Murugappa Group till this matter is resolved  and he will contest the SEBI Order.The Group states that SEBI’s observation in linking A Vellayan to the two who actually did the Insider Trades  is based on suspicion and is a far-fetched tenuous conjecture and the interim order does not prove the link conclusively

A few threads I have picked from SEBI’s Order  and my views on them  :

  • SEBI has been reactive in this case….they needed to be proactive when this blatant game was being played out in May 2011 or immediately thereafter rather than await someone to lodge a formal complaint……what happens in many insider trading cases where no one complaints to SEBI ! ? The Order begins like this:

 1. SEBI on receipt of certain complaints alleging therein that the unpublished price sensitive information (hereinafter referred to as ‘UPSI’) pertaining to the acquisition of the shares of one Sabero Organic Gujarat Limited (hereinafter referred to as ‘Sabero’) by Coromandel International Limited (hereinafter referred to as ‘Coromandel’) was leaked to certain persons, who were acting in concert with the management of Sabero/ Coromandel, initiated a preliminary examination into the matter. Later, a detailed investigation was conducted by SEBI for the period of May 15, 2011 to June 15, 2011. read more

Squirrels are back in May !

What a Lovely Saturday Morning! The Squirrels are back in May !….they had vanished in April and early May….learnt it was their mating season….first the sparrow awaits it’s turn just below the water pot….then the parrot does as squirrels feast and scamper around….only to finally realise that the squirrel does not mind sharing….all are early breakfast eaters before the pigeons and crows raid….it’s fascinating how the whole day they all play tug of wars and musical chairs….often in greater numbers…like twenty sparrows feasting and twittering and chirping !….Heavenly ! Blessed!

Sparrow awaits it's turn under a water pot
Parrot awaits it's turn as the squirrels feast and scamper around
Parrot realises the squirrel does not mind sharing
Scroll to Top