The Securities and Exchange Board of India (SEBI) has issued a stern verdict against former Axis Mutual Fund dealer Viresh Joshi, barring him from securities markets for seven years. The ruling follows an extensive investigation into illicit front-running activities that compromised market integrity.
Alongside Joshi, Prijesh Kurani has also been barred for the same duration. The regulator's probe uncovered a coordinated scheme where Joshi allegedly leaked confidential, non-public trade information to Kurani. This sensitive data allowed for strategic positioning, resulting in significant illegal gains.
Key measures enforced by SEBI include:
- A seven-year prohibition from participating in any securities market operations.
- The impounding of Rs 30.56 crore, which will now be formally designated as disgorgement.
- A broader crackdown on associated entities that facilitated the fraudulent trade flow.
This enforcement action serves as a warning against market malpractice and reflects SEBI’s commitment to protecting retail investors from insider exploitation. The regulator emphasized that the complexity of the operation involved multiple accomplices, all of whom have been implicated in the final order.
