PB Fintech's Yash Dahiya pays Rs 9.4 lakh to settle SEBI’s insider trading case
The case was related to PB Fintech’s $2 million investment in the UAE-based company, YKNP Marketing Management, which SEBI claimed was not properly disclosed as "unpublished price-sensitive information".
The Securities and Exchange Board of India (SEBI) on Tuesday settled an insider trading case involving PB Fintech’s Chairman and CEO, Yashish Dahiya, after he agreed to pay a settlement fee of Rs 9.42 lakh.
The case was related to PB Fintech’s $2 million investment in the UAE-based company, YKNP Marketing Management, which SEBI claimed was not properly disclosed as "unpublished price-sensitive information" (UPSI).
In November 2022, Policybazaar's parent company invested $2 million (about Rs 16.6 crore) in YKNP Marketing Management through its Dubai-based subsidiary, PB Fintech FZ-LLC. Since the investment amount was relatively small compared to PB Fintech’s overall financials, the company believed it was not significant enough to be categorised as price-sensitive information.
However, SEBI later raised concerns that the company had not classified this transaction correctly under insider trading regulations. These rules are meant to prevent executives and insiders from misusing confidential business information to gain an unfair advantage in stock trading.
In April 2024, the market regulator sent a show-cause notice (a formal inquiry asking why action should not be taken) to Dahiya, questioning whether the company had fully complied with the Prohibition of Insider Trading (PIT) Regulations, 2015.
Rather than fighting the case in a prolonged legal process, Dahiya opted for a settlement—a mechanism under SEBI’s rules that allows companies and individuals to resolve regulatory disputes by paying a penalty without admitting or denying any wrongdoing.
In August 2024, the PB Fintech CEO applied for a settlement, and after discussions with SEBI’s High Powered Advisory Committee (HPAC), the penalty amount was set at Rs 9.42 lakh.
After receiving the payment in February 2025, SEBI officially closed the case on March 4, 2025. However, the regulator has retained the right to reopen the matter if it finds that all facts were not fully disclosed or if any conditions of the settlement are violated in the future.
Edited by Suman Singh