Insider Trading means dealing in securities of a company listed/traded on any stock exchange in India based on, or when in possession of, unpublished price sensitive information.
With a view to govern the conduct of insiders on matters relating to insider trading, the Securities and Exchange Board of India (SEBI) had formulated SEBI (Insider Trading) Regulation 1992. SEBI had since amended the existing regulations. These regulations are now called Securities and Exchange Board of India (Prohibition of Insider Trading)
Regulations, 1992 (hereinafter referred to as the regulations). These regulations have been amended with effect from 20th February, 2002 and are modified from time to time.
Chapter IV of the Regulations require inter alia all listed companies to frame a code of internal procedures and conduct as near thereto to the Model code specified in Part A of Schedule I to the Regulations.
Regulation 12 of the Regulations requires inter alia all listed companies to set up an appropriate mechanism and to frame and enforce a code of internal procedures and conduct based on the Model Code specified in Schedule I to the Regulations. Further, Regulation 13 of the Regulations requires Directors, Officers, Connected Persons and Substantial Shareholders of listed companies to disclose their shareholdings or voting rights to the respective companies.
In compliance with the above requirements, the Company has introduced a Code for prohibition of Insider Trading (hereinafter referred to as the 'Code').
All the Directors and Employees of VIP Clothing Ltd. are advised to carefully go through and familiarize themselves with and adhere to the Regulations and the Code.
This Code seeks to comprehensively lay down the obligations of all persons who are deemed to be ‘Insiders’ as defined in the Code in due compliance with the Regulations.
In view of the above, 'Insiders' are advised not to deal in the Securities of the Company, while in possession of unpublished Price Sensitive Information. Further, Insiders are advised to acquaint themselves with the provisions considered in the Regulations