SEBI v. Mukesh Kumar Gupta and others (Shilpi Cable Technologies, tipping and misleading bonus notice, 2023)

Judgment entered

✓ 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 July 2023 a SEBI adjudicating officer fined the managing director of Shilpi Cable Technologies Rs 15 lakh and its compliance officer Rs 5 lakh over the company's handling of a creditor's insolvency petition in 2017, including a bonus-issue board notice the order calls misleading. The case against the other director abated because he had died.

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

2m 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

This adjudication order was issued on 12 July 2023 by G. Ramar, a SEBI adjudicating officer. It concerns Shilpi Cable Technologies Ltd, listed on BSE and NSE, whose share price fell from Rs 207.60 to Rs 52.45, about 75 per cent, in 17 trading days between 26 April and 19 May 2017. The noticees are director Mukesh Kumar Gupta, managing director Manish Goel and compliance officer Ravi Shankar.

SEBI's investigation covered 8 March to 11 May 2017, from when the company received a demand from Macquarie Bank to the disclosure that the chief financial officer, compliance officer and independent directors had resigned. SEBI alleged that Mr Gupta and Mr Goel, as insiders, passed unpublished price-sensitive information about the creditor's insolvency petition to outside traders; that Mr Goel also made a misleading disclosure on 11 May 2017 that the board would consider a bonus issue, which was then called off; and that Mr Shankar did not disclose the petition on time or close the trading window.

The order finds, on a preponderance of probabilities, that the trading entities, who included the Gupta family members sanctioned in a separate order, received the information from the promoter-directors. It finds that the bonus notice was a misleading disclosure made without a real intention, which fed a volume spike, and that the compliance officer broke the listing and insider-trading code rules.

Mr Gupta died on 7 April 2021 and the proceedings against him abated. Mr Goel was fined Rs 15 lakh under sections 15G(ii) and 15HA of the SEBI Act, and Mr Shankar Rs 5 lakh under section 15HB of the SEBI Act and the Securities Contracts (Regulation) Act, Rs 20 lakh in total. Mr Shankar's part is a compliance finding rather than trading abuse.

The order records that no gain or investor loss was quantified. It is an administrative penalty, not a criminal judgment, and the record shows no criminal case. It does not show whether the noticees appealed or paid.

This library tags the matter as insider trading (tipping), with a misleading-disclosure element. 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 2 techniques 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.
• Misleading issuer disclosure — see how it works, what statute it engages, and every other action tagged the same way.

Timeline

1. 2023-07-12 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
• Order (PDF)

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.