Sebi settles high profile case against former TV host for Rs 1.45 crore

Markets regulator Securities and Exchange Board of India (Sebi) has settled a high-profile case against former CNBC Awaz TV host Hemant Ghai after he paid Rs 1.45 crore as settlement amount. The settlement relates to his show ‘Stock 20-20’, in which a Sebi investigation found that there was a high correlation between Ghai’s recommendations and the trades executed by certain entities between January 1, 2018 and January 13, 2021.Following its investigation, the market watchdog issued a show-cause notice to Ghai on February 24, 2025 over an alleged front-running case. The SCN alleged that Ghai passed on material, non-public information about recommendations to be made on TV programs he co-hosted to certain other individuals. The investigation revealed that these individuals then shared the information with others and also traded on the communication, leading to illicit profits.

He was found to have violated Sebi norms relating to Prohibition of Fraudulent and Unfair Trading (Practices in Relation to Securities Market) Act, 2003.

While the proceedings were still ongoing, Ghai filed a settlement petition with Sebi, proposing to resolve the matter through a settlement order, without admitting or denying the regulator’s factual findings or legal conclusions.

Sebi’s internal committee on June 24, 2025 recommended Rs 1,45,60,000 as the settlement amount to which Ghai agreed while providing an alternative calculation to be considered by the internal committee and the High Powered Advisory Committee (HPAC).

While the Internal Committee rejected the alternative calculation, it submitted the request to the HPAC at its meeting on August 7, 2025.

The order states that while the settlement is effective immediately, Sebi reserves the right to reopen the case if statements made by Ghai during the trial are later found to be false, if he breaches an undertaking or if any discrepancies arise in the calculation of the settlement terms. Sebi’s 2021 investigation into the Ghai family revealed a strong correlation between the stock calls Hemant Ghai made on CNBC Awaaz and the trades executed in the accounts of his wife Jaya Ghai and mother Shyam. Mohini Ghai.

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