Stock in Polaris Financial Technologies Ltd. slipped nearly 6 per cent on Wednesday, after the capital market regulator barred the company's chief from the securities market for two years.

Market regulator Securities & Exchange Board of India (SEBI) barred Polaris chairman & managing director Arun Jain from accessing capital markets for two years after he was found guilty of insider trading. The incident dates backs to 2000.

Polaris shares responded by shedding 5.63 per cent to close at Rs 126.45, while the SENSEX slipped 0.86 per cent to finish Wednesday's trading at 18,631.10 on Bombay Stock Exchange (BSE) in Mumbai.

The insider trading incident dates backs to August-September 2000. The market regulator found in a probe that Jain had made unfair gains to the tune of Rs 27.26 lakh by withholding price-sensitive information from the public and then trading in the companies shares based on the unrevealed price-sensitive information.

But, Jain has plans to challenge the capital market regulator's ruling. Responding to the regulator's order, Jain said, "It was a bolt out of the blue. I have not sold any share in the last 10 years."

Polaris said it was reviewing the order and mulling over a plan to file an appeal before the Securities Appellate Tribunal (SAT).