Reliance Industries challenges Sebi order in takeover norm violation case

Reliance Industries has challenged market regulator Securities and Exchange Board of India's probe into its alleged violation of takeover norms over a promoter stake purchase in 2000. The plea was filed before the Securities and Appellate Tribunal (SAT) on Wednesday, two people close to the development said.

"The Sebi internal order of 2010 appointing an adjudicating officer to probe the matter and the subsequent show cause notice issued by the adjudicating officer have been challenged in the RIL plea filed in January. The plea argues that both the order and show cause notice were not issued within a reasonable time frame," said one of the two individuals cited above.

The show cause notice had said that RIL had violated rules regulating the manner in which promoters can raise their stake in Indian companies. The notice had questioned the manner in which 12 crore shares were allotted in 2000 to 38 promoter related entities, another person added.

RIL officials were immediately unavailable for an official comment to ET NOW's queries. The case is likely to come up for hearing towards the end of March.