The Securities and Exchange Board of India through notification dated 5th August, 2021 has issued the Securities and Exchange Board of India (Prohibition of Insider Trading) (Second Amendment) Regulations, 2021. The illustrative table of the reward payable to informants is provided by the amendment. It is also clarified that if the total reward payable is less than or equal to Rupees One Crore, the Board may grant the said reward upon the issuance of the final order by the Board.
In case the total reward payable is more than Rupees One Crore, the Board may grant an interim reward not exceeding Rupees One Crore upon the issuance of the final order by the Board and the remaining reward amount shall be paid only upon collection or recovery of the monetary sanctions amounting to at least twice the balance reward amount payable.
