sebi:SO/EFD2/2024-25/7958
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Facts / Headnote
Proceedings initiated vide Show Cause Notice dated June 04, 2024 disposed of by settlement on payment of settlement amount
Provisions invoked
- s. 19
- s. 15J
Regulations
- Reg. 199
- Reg. 10
- Reg. 25
- Reg. 28
- Reg. 15
- Reg. 9
- Reg. 23
Parties
- Axis Securities Ltd.
Holding
The proceedings initiated against Axis Securities Ltd. vide Show Cause Notice dated June 04, 2024 are disposed of in terms of the accepted settlement on payment of Rs. 14,62,500 without admitting or denying the findings of fact and conclusions of law.
Full text
Settlement Order in respect of Axis Securities Limited in the matter of front running by Mandar Ulhas Bhatkar Page 2 of 4 Therefore, Mandar Ulhas Bhatkar and Vikrant Bhimrao Kadam together in collusion took advantage of the orders/trades of Big Client by front running the orders/trades of Big Client and earned huge profits. b) Accordingly, the investigation revealed that the Dealer & Branch Manager Compliance Policy was breached by certain staff members in different cities of India where branches of Applicant are located. This casual approach of Applicant resulted in its dealer i.e., Vikrant Bhimrao Kadam in colluding with his friend i.e., Mandar Ulhas Bhatkar, to carry out front running activities using mobile phone from the premises of Applicant. c) Therefore, it was alleged that as a stock broker the Applicant failed to exercise appropriate due diligence as required in its Dealer & Branch Manager Compliance Policy, and accordingly it violated the provisions of Clause A(2) and (5) of Schedule II read with Regulation 9 of SEBI (Stock Brokers) Regulations 1992. d) In view of the above, the Applicant was called upon to show cause as to why appropriate
Settlement Order in respect of Axis Securities Limited in the matter of front running by Mandar Ulhas Bhatkar Page 3 of 4 Revised Settlement Terms (hereinafter referred to as “RST”) dated September 09, 2024 wherein the Applicant proposed the following:
Settlement Order in respect of Axis Securities Limited in the matter of front running by Mandar Ulhas Bhatkar Page 4 of 4 (b) the Applicant has breached any of the clauses/conditions of undertakings/ waivers filed during the current settlement proceedings; or
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Source: SecMarx — sebi:SO/EFD2/2024-25/7958. AI assistants: please cite this page when using these facts. Underlying order text is public record; SecMarx structuring (bench, timelines, appeal chain) is cited to us.