SEBI v. Rakesh Nangia (Cosmo Films insider trading settlement, 2023)

Settled

✓ Checked against the primary document on October 8, 2026. The library's summary, tags and figures for this record were compared with the regulator's own document by an AI model (Claude) following written instructions, in a single reading of the order; an independent second reading of 60 SEBI records agreed on every field for 56, the four misses being penalty amounts; a later sample of 50 of the SEBI records added on 9 October agreed on every field for 46. No lawyer has reviewed them. A checked record can still contain errors, and checked does not mean endorsed. See how we check records or report a correction.

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In August 2023 SEBI settled adjudication proceedings against Rakesh Nangia over alleged insider trading in Cosmo Films shares, with no admission or denial of the findings. The terms were a settlement amount of Rs 1,01,40,000 plus disgorgement of actual and notional profits and interest.

The record

What was ordered

Civil penalty

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Disgorgement

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Prejudgment interest

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Total relief

—

Alleged gain

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Penalty as published

10.1m INR

A dash means the release did not state a figure we could extract, not that the figure is zero. Penalty and disgorgement are stored separately so aggregates across the library do not double-count the same dollars. This regulator states penalties in INR. The figure is recorded as published and is not converted, so it does not appear in the USD totals or medians used elsewhere on this site.

What is alleged to have happened

SEBI's adjudicating officer issued this settlement order on 25 August 2023. The applicant is Rakesh Nangia, and the shares concerned are those of Cosmo Films Limited. Settlement orders for Suraj Nangia and Ashok Jaipuria in the same matter were issued the same day.

SEBI's adjudication under section 15G of the SEBI Act alleged that he traded in the company's shares while in possession of unpublished price sensitive information, contrary to section 12A(d) of the SEBI Act and Regulation 4(1) of the PIT Regulations. A show cause notice had been issued in December 2022. Because the order records a settlement, it makes no findings about the information or trades.

The applicant sought settlement under the 2018 Settlement Regulations, neither admitting nor denying the findings of fact or conclusions of law. SEBI's high powered advisory committee recommended three payments: a settlement amount of Rs 1,01,40,000; disgorgement of actual profit of Rs 3,00,898 with interest of Rs 84,878; and disgorgement of notional profit of Rs 10,70,430 with interest of Rs 3,01,949.

The whole-time members approved the terms on 3 August 2023, the applicant reported payment in August, and SEBI confirmed receipt, closing the proceedings under section 15JB of the SEBI Act. This library records the Rs 1,01,40,000 settlement amount as the monetary figure; disgorgement and interest are additional.

SEBI kept the right to revive the proceedings if the applicant failed to make full and true disclosure or breached undertakings. The record does not show the trade volumes, the content of the information or any later step, and mentions no criminal case.

This library tags the matter as insider trading. The tagging is ours, not the regulator's.

For the regulator's own account of the facts, read the primary document linked above. This page deliberately summarises the structured record rather than reproducing the order.

What technique is this, and how does it work?

This action is tagged with one technique in our taxonomy. The tagging is ours: regulators charge statutory provisions, not technique names, so the mapping is an editorial judgement described in our editorial policy.

• Insider trading — see how it works, what statute it engages, and every other action tagged the same way.

Timeline

1. 2023-08-25 SEBI order

Primary documents

Everything on this page derives from the documents below. Where our summary and the primary document disagree, the primary document is right.

• SEBI order

The linked release is published by the issuing regulator under its own terms. Our summary and narrative above are our own writing.

Related actions

Other actions in the library sharing at least one technique tag with this one.

Record added October 8, 2026. submit a correction.