Final order in the matter of front running of the trades of Axis Mutual Fund

What is this order about?

SEBI issued a final order regarding front running of Axis Mutual Fund trades by multiple individuals and entities, finding violations of securities laws.

Who it concerns

Mr. Viresh Joshi, Mr. Sumit Desai, Mr. Pranav Vora, Mr. Vaibhav Pandya, Mr. Prijesh Kurani, Ms. Dharini Kurani, Ms. Rekha Kurani, Ms. Bharti Navnit Godaya, M K B Bespoke Audio General, Mr. Bindesh Kurani, Mr. Nishil Surendra Marfatia, Olga Trading Pvt. Ltd., Mr. Krunal Khamar, Mr. Kamlesh Arjundas Dhanrajani, Mr. Bhavin Shah, Ms. Rupal Bhavin Shah, Visa Capital Partners, Mr. Suresh K Jajoo, Ms. Vimla S Jajoo, Mr. Ankit Jajoo, Ms. Sheepra Sumeet Kabra

What was found or directed

• SEBI found that Mr. Viresh Joshi shared non-public information about Axis Mutual Fund trades with Mr. Prijesh Kurani
• Mr. Prijesh Kurani used mule accounts to front run trades
• SEBI ordered impounding of INR 30,55,89,668.96 as unlawful gains
• Mr. Sumit Desai, Mr. Pranav Vora, and Mr. Vaibhav Pandya aided in arranging mule accounts
• Mr. Viresh Joshi was Chief Dealer of Axis Mutual Fund
• Mr. Prijesh Kurani was based in Dubai
• Trades followed Buy-Buy-Sell or Sell-Sell-Buy patterns

Points worth noting

• Total unlawful gains amount to INR 30,55,89,668.96
• Mule accounts included family members and business entities
• Front running occurred between September 2021 and March 2022
• Profits were transferred through cash and Angadias