Mumbai: Market regulator SEBI today let off two Foreign Institutional Investors -- Franklin Templeton Investment Funds (FTIF) and Halliburton Company Employee Benefit Master Fund - for short selling of HCL Technologies shares In December 2002.

FTIF had sold 4500 HCL Technologies shares, while Halliburton sold 1,500 shares without having them in their respective portfolios, which was an act of shortselling prohibited by both SEBI and the Reserve Bank of India.

Both the FIIs have been asked to be cautious in their dealings in the securities and the violation of like nature would be viewed very seriously, said SEBI's Adjudicating Officer, Amit Pradhan in his order.