Archive · 25 Oct 2025
SEBI Bans 13 Individuals for Front-Running Trades
Imagine some people knew what a few big investment groups were going to buy or sell in the stock market.
Before those groups could make their moves, these people bought or sold the same stocks.
This is called front-running, and it's illegal.
The Securities and Exchange Board of India (SEBI) found 13 people doing this with trades from three investment groups.
SEBI has now stopped these people from trading stocks anymore and fined them, as they were unfairly making money from insider information.
SEBI barred 13 individuals from the securities market.
The individuals were found guilty of front-running trades.
The trades were linked to three trusts.
SEBI conducted an investigation from January 1, 2021 to October 31, 2022.
Penalties ranging from Rs 5 lakh to Rs 15 lakh were imposed.
- Who
- SEBI, 13 individuals
- What
- Banned from the securities market for front-running trades.
- When
- Investigation conducted from January 1, 2021 to October 31, 2022.
- Where
- Securities market
- Why
- Making illegal gains by front-running trades of three trusts.
- Action
- Ban from securities market
- Number of Individuals Banned
- 13
- Reason for Ban
- Front-running
- Entities Involved
- Bharat Kanaiyalal Sheth family, Ravi Kanaiyalal Sheth family, Arjun Discretionary Trust
- Investigation Period
- January 1, 2021 - October 31, 2022
- Penalties
- Rs 5 lakh to Rs 15 lakh