How a Leading Listed Enterprise Achieved Effortless SEBI PIT Compliance with InsiderLens LCo

ABOUT THE CLIENT

The client is a leading listed enterprise with thousands of employees. The company was facing challenges in managing compliance under SEBI (Prohibition of Insider Trading) Regulations. Its existing compliance management system was not able to track violations, which resulted in a penalty being imposed on the CEO and Managing Director for non-compliance.

BUSINESS NEED

The company approached Axar Digital to address the following compliance challenges:

• Difficulty maintaining a SEBI-compliant Structured Digital Database (SDD).

• Internal audits had highlighted gaps in PIT monitoring.

• Difficulty monitoring trading by Designated Persons (DPs) and their Connected Persons (CPs).

• Lack of transparency and centralized control across compliance processes.

• Limited visibility into compliance status.

• High audit and regulatory risk.

• Benpos-based reconciliation of holdings by Designated Persons was not streamlined.

SOLUTION

The company deployed InsiderLens LCo, Axar Digital's SEBI PIT Compliance Software Solution. Here is what the solution delivered:

Structured Digital Database (SDD) Management

InsiderLens LCo set up a centralized SDD covering all Designated Persons and three categories of Connected Persons: Immediate Relatives, Material Financial Relationships, and Other Entities.

Automated Trading Window Management

The solution automated trading window closure and opening notifications. Trading Window Closure (TWC) Notices were scheduled on a calendar basis and linked to financial events.

Digital Disclosures and Approval Workflows

Both Initial and Continual Disclosures were digitized, along with complete approval workflows. Pre-Clearance Management was included to handle trading requests through a traceable, time-stamped process.

UPSI Capture with Date and Time Stamp

The platform captured Unpublished Price Sensitive Information (UPSI) with precise date and time stamps, creating a reliable and auditable record of information access.

Violation Tracking and Reports

Benpos-based violation tracking was put in place along with other Violation Reports, giving the compliance team clear visibility into any trading irregularities.

Role-Based Access and Data Security

The system was configured with role-based access controls, ensuring that sensitive data remained protected and that each team member could only access what was relevant to their role.

Audit-Ready Reports and Audit Trail Logs

InsiderLens LCo generated audit-ready reports and maintained complete audit trail logs across all compliance activities, keeping the organization inspection-ready at all times.

IMPACT

Within weeks of deployment, the organization experienced the following:

• Measurable operational and compliance improvements: The company experienced clear, measurable improvements in both operational efficiency and compliance performance.

• Enhanced monitoring: Monitoring of Designated Persons, UPSI access, and trading activities became significantly more effective.

• Improved inspection preparedness: Centralized records and audit trails improved the organization's readiness for regulatory inspections.

• Proactive monitoring: The compliance team was able to monitor activities proactively, rather than responding to issues after the fact.

• Risk reduction and transparency: Violation tracking reports reduced regulatory risk and brought greater transparency to compliance management.

WHAT THE CLIENT SAID

"Since implementing your software, our team has seen significant improvements in compliances. Staying compliant with SEBI's PIT regulations feels effortless. It's taken the stress out of compliance entirely for everyone across our organization. InsiderLens software is incredibly easy to use. With role-based access, our sensitive data stays protected and each team member sees exactly what they need, nothing more, nothing less."

Chief Compliance Officer, Leading Listed Enterprise