🧵 About Nitin Spinners Limited
Nitin Spinners Limited is a prominent textile company based in Bhilwara, Rajasthan. The company manufactures a wide range of cotton yarns, knitted fabrics, and finished textile products. It is globally recognized for producing high-quality cotton yarns including SUPIMA and USTERIZED products.
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CIN: L17111RJ1992PLC006987
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Head Office: 16-17 km, Chittor Road, Hamirgarh, Bhilwara, Rajasthan
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Email: nsl@nitinspinners.com
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Website: www.nitinspinners.com
📈 Key Market Data (As per latest known data)
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BSE Scrip Code: 532698
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NSE Symbol: NITINSPIN
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Sector: Textiles – Spinning – Cotton Blended
📃 Report:
Nitin Spinners Limited has reported a case of insider trading involving one of its employees, Mr. Rakesh Kumar Baheti, who serves as Deputy Manager (Commercial) in the Excise Department. As per the SEBI (Prohibition of Insider Trading) Regulations, 2015, Mr. Baheti executed a contra trade by buying and selling 293 shares of the company within a short time frame without obtaining the required pre-clearance or informing the company within the stipulated statutory timeline. The transactions took place outside the Trading Window Closure period and without any possession of unpublished price sensitive information (UPSI).
The value of shares bought was ₹92,853.80, while the shares sold amounted to ₹1,00,479.10, resulting in a profit of ₹7,626/-. Considering this was a first-time violation and Mr. Baheti was not holding any UPSI at the time, the company imposed a penalty equal to the profit earned and issued a formal warning letter. The entire amount was transferred to SEBI’s IPEF (Investor Protection and Education Fund) via online transaction.
This action demonstrates Nitin Spinners’ commitment to upholding the highest standards of corporate governance and regulatory compliance. The incident reinforces the importance of strict adherence to insider trading norms, serving as a reminder to all listed companies and their employees about ethical trading practices.
🔹 Pointwise Summary:
✔️ Listed Entity: Nitin Spinners Limited
✔️ Name of Employee (DP): Mr. Rakesh Kumar Baheti
✔️ Designation: Deputy Manager (Commercial), Excise Dept
✔️ Scrip Details:
🔹 BSE: 532698
🔹 NSE: NITINSPIN
✔️ Trade Executed:
🛒 Bought: 293 shares @ ₹92,853.80
💰 Sold: 293 shares @ ₹1,00,479.10
✔️ Violation: Contra Trade – Without Pre-Clearance & Intimation
✔️ Profit Earned: ₹7,626
✔️ Penalty: ₹7,626 (Transferred to SEBI-IPEF)
✔️ Action by Company:
📄 Written explanation sought
⚠️ Warning letter issued
✔️ Justification:
✅ No UPSI held
✅ Trade done post trading window opening
✅ First-time violation
✔️ Reporting Date: 7 May 2025
✔️ Location: Bhilwara, Rajasthan
💹 Effect on Share Market
This event may have a neutral to mild negative impact on market perception. Though the violation was minor and handled promptly, it underscores internal compliance lapses. However, investors may appreciate the company’s proactive approach in disclosing and penalizing the breach transparently, which upholds governance standards.
👥 How This Helps Retail Traders
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⚖️ Boosts Confidence: Shows the company’s transparency and ethical handling of violations.
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🧠 Awareness: Educates retail investors about insider trading norms and possible red flags.
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🔒 Trust Building: Reinforces the importance of compliance, reducing manipulation risks.
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📊 Better Decision-Making: Knowledge of corporate behavior aids in long-term investment planning.
📉 Stock Market Disclaimer
Disclaimer: This post is for informational and educational purposes only and does not constitute financial advice or a recommendation to buy/sell any stock or share. Investing in the stock market involves risk. Past performance is not indicative of future results. Always conduct your own research or consult a licensed financial advisor before making investment decisions.
