In the high-stakes world of Indian capital markets, information is the most valuable currency. However, when that information is “Unpublished” and “Price Sensitive,” its handling becomes a matter of rigorous legal scrutiny. Under the SEBI (Prohibition of Insider Trading) Regulations, 2015, and its subsequent amendments through 2026, listed companies, intermediaries, and fiduciaries are under a strict mandate to prevent the misuse of confidential data.
PIT Software (Prohibition of Insider Trading software) has evolved from a luxury for large corporations into a regulatory necessity for every listed entity. Orion Legal Supplies provides a robust PIT compliance ecosystem that automates the tracking of trades, manages disclosures, and maintains the mandatory Structured Digital Database (SDD), ensuring that your organization remains beyond reproach in the eyes of the regulator.
The Regulatory Landscape: Why PIT Software is Mandatory
The primary objective of the PIT Regulations is to ensure a level playing field for all investors. SEBI mandates that any individual in possession of Unpublished Price Sensitive Information (UPSI) must be tracked, and their trading activities must be monitored to prevent unfair gains.
Failure to comply with these regulations can result in severe penalties, including fines up to ₹25 Crores or three times the profits made from insider trading, whichever is higher. Moreover, the reputational damage of a SEBI investigation can be catastrophic for a company’s stock price and investor confidence.
Core Pillars of Orion’s PIT Compliance Software
Effective PIT software must do more than just record trades; it must act as an active gatekeeper. Orion’s solution is built on four critical technological pillars:
1. Structured Digital Database (SDD) Management
As per Regulation 3(5), companies must maintain a digital database of persons with whom UPSI is shared.
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Immutable Logs: Once an entry is made regarding the sharing of UPSI, it cannot be altered or deleted.
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Timestamping: Every instance of information sharing is automatically timestamped, providing a definitive audit trail for SEBI.
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Internal Servers: Our software is designed for on-premise or secure private cloud deployment, satisfying the requirement that the database be maintained internally.
2. Automated Trade Monitoring and RTA Integration
The most difficult aspect of PIT compliance is tracking the actual trades made by Designated Persons (DPs) and their immediate relatives.
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Benpos Comparison: The software automatically pulls data from Registrars and Transfer Agents (RTAs) and compares it against the company’s records.
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Violation Detection: If a DP trades during a “Blackout Period” or executes a “Contra-Trade” (selling and then buying within six months), the system triggers an immediate alert for the Compliance Officer.
3. Disclosure and Pre-Clearance Workflow
Manual paper trails for trade approvals are prone to loss and delay. Orion digitizes the entire workflow:
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Online Pre-Clearance: Employees can submit trade requests via a web portal. The software checks these against the “Model Code of Conduct” and current trading windows before notifying the Compliance Officer.
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Initial & Continual Disclosures: The system automates the generation of Form A, B, C, and D, ensuring that disclosures to stock exchanges are accurate and timely.
4. Holding and Relation Tracking
PIT regulations extend to “Immediate Relatives” and persons with whom a DP shares a “Material Financial Relationship.“
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Relative Mapping: DPs can update the details of their relatives and their respective Demat accounts directly through a self-service portal.
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Educational & Past Employer Tracking: To meet the 2026 transparency standards, the software tracks the educational background and past employers of DPs to identify potential “Connected Persons” across the industry.
The Strategic Advantage of Automation
Choosing a professional PIT software over manual Excel-based tracking offers several transformative benefits:
| Feature | Manual Tracking (Excel) | Orion PIT Software |
| Data Integrity | High risk of manual error or tampering. | Tamper-proof, encrypted database. |
| Audit Readiness | Days of preparation to pull records. | Instant “Audit-Ready” report generation. |
| Proactive Alerts | Violations are discovered after the fact. | Real-time alerts prevent illegal trades. |
| Employee Experience | Tedious paperwork for every trade. | Seamless, mobile-friendly self-service. |
Why Partner with Orion Legal Supplies?
At Orion, we don’t just provide code; we provide a compliance framework. Our software is designed by legal experts who understand the nuances of the SEBI PIT circulars issued through 2025 and 2026.
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On-Premise Security: We respect the sensitivity of your UPSI. Our deployment models ensure that your data never leaves your controlled environment.
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Scalability: Whether you have 50 Designated Persons or 5,000, our system handles the volume with consistent performance.
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Regulatory Sync: As SEBI updates the definition of “Connected Persons” or modifies disclosure formats, our software is updated in real-time to keep you compliant.
Conclusion: Building a Culture of Compliance
In the modern corporate era, a “clean” record with SEBI is a mark of prestige and stability. By implementing a robust PIT software solution, you are not just ticking a regulatory box; you are protecting your executives, your shareholders, and the long-term integrity of your brand.
Don’t wait for a show-cause notice to find the gaps in your insider trading controls. Shift to an automated, secure, and transparent system that works as hard as you do.
Take the first step toward flawless compliance: Explore PIT Software at Orion Legal Supplies
