Sebi’s Crackdown: Exposing Rs 21 Crore Front-Running Fraud
The Securities and Exchange Board of India (Sebi) recently uncovered a significant front-running fraud scheme involving PNB MetLife India Insurance Company’s equity dealer, Sachin Bakul Dagli, and eight others. This scheme resulted in unlawful gains totaling Rs 21.16 crore over a three-year period.
This fraudulent activity revolved around the manipulation of confidential, non-public trade information to make strategic trades that took advantage of upcoming market movements. Entities such as Dhanmata Realty Pvt Ltd and Worthy Distributors Pvt Ltd were involved in executing these trades, which ultimately violated Sebi’s regulations.
As a response to the investigation findings, Sebi has taken action by prohibiting Sachin Dagli and his associates from participating in the securities market and confiscating the profits obtained through illegal means. This move highlights Sebi’s dedication to combating fraudulent practices and maintaining the integrity of the market.
It’s important to stay informed about such cases to protect yourself and ensure that the financial markets remain fair and transparent for all investors.
