SEBI Proposes Broader Definition Of 'Connected Persons' In Insider Trading Regulations To Include More Relatives

SEBI has proposed expanding the definition of "connected persons" in insider trading regulations. The change aims to include a broader range of relatives and close associates to better capture and address insider trading activities. Under the revised definition, more individuals who have a close relationship with the insider or access to unpublished price-sensitive information would be considered connected. This move is intended to strengthen regulatory oversight and enforcement in the securities market, ensuring that all potential sources of insider trading are covered under the regulations.