Capital markets regulator SEBI has imposed a penalty of ₹ 1 lakh on Bharti Infratel, now known as Indus Towers, for flouting rules pertaining to employee stock option schemes.
In its order, SEBI found that Bharti Infratel violated the provisions of the SBEB (Share Based Employee Benefits) by not appropriating the excess 5,32,862 shares of the company within the stipulated timeline of March 31, 2017.
In its exemption application filed by the company in October 2019, Bharti Infratel informed SEBI that it has a surplus of 5,32,862 shares of the company in ESOP Trust as on March 31, 2017, which could not be appropriated in terms of SBEB rules.