Jane Street Fiasco: SEBI Chief Calls For Speedy Probe, Tighter Vigilance Of Market Manipulation

In the wake of the Jane Street fiasco, SEBI Chairman Tuhin Kanta Pandey held a high-level review meeting on Monday, directing enforcement, adjudication and surveillance departments to step up monitoring, speed up investigation and initiate enforcement action where necessary.

Senior officials from the enforcement, adjudication, and surveillance departments were present at the meeting, sources told NDTV Profit.

“SEBI has already begun tightening surveillance across specific market segments that have displayed irregular or suspicious trading activity in recent weeks," they said.

The chairman reportedly took stock of several irregular activity patterns that point to possible coordinated manipulation, including unusual volume spikes, circular trading, and price distortions.

The meeting emphasised the importance of departmental coordination and real-time surveillance to detect and respond to such activities swiftly.

The Jane Street episode has triggered broader concerns over systemic loopholes being exploited for unfair gains, another source said.

Jane Street Group has reportedly met the regulatory requirements to restart trading in Indian securities markets by depositing Rs 4,843.5 crore into a separate escrow account, in compliance with directions from the regulator.

The foreign proprietary firm was earlier restrained from participating in Indian markets following July 3 Sebi's interim order.