PIT Regulations Amendment Dec 2024

 SEBI has vide notification dated 4th December, 2024 amended the SEBI (Prohibition of Insider Trading) Regulations 2015 as follows

1) The definition of "connected person" has been slightly amended to delete the words "between himself and the company" in respect of professional or business relationship between the connected person and the company. 

2) The word "immediate" has been deleted with reference to relative of the connected person. 

3) Two more categories of persons have been added as connected persons, viz

“(k). a firm or its partner or its employee in which a connected person specified in sub-clause (i) of
clause (d) is also a partner; or
(l). a person sharing household or residence with a connected person specified in sub-clause (i) of
clause (d);”

4) The Note below the definition of "Immediate Relative" in Reg 2(1)(f) has been deleted. 

5) In the Note below Reg 2(1)(d) "Immediate relatives" has been replaced with "Relatives".

6) In the Note below Reg 2(1)(g) has been slightly amended to insert "the manner in which one came into possession" instead of "how one came into possession". 

7) A new clause has been added to define relative in (clause hb of Reg 2(1))

“(hc) “relative” shall mean the following:
(i) spouse of the person;
(ii) parent of the person and parent of its spouse;
(iii) sibling of the person and sibling of its spouse;
(iv) child of the person and child of its spouse;
(v) spouse of the person listed at sub-clause (iii); and
(vi) spouse of the person listed at sub-clause (iv)
NOTE: It is intended that the relatives of a “connected person” too become connected persons for the
purpose of these regulations. It is a rebuttable presumption that a connected person had UPSI.”