SEBI finds 12 fake reversal trades created 1,36,000 units artificial volume

SEBI examined whether these actions violated regulations prohibiting fraudulent and unfair trade practices.

Who it concerns: SIC Stocks Services Private Limited (PAN: AAHCS8176P)

What SEBI found or ordered

• SEBI found that the Noticee executed 12 non-genuine reversal trades in 2 stock option contracts.
• These trades resulted in the creation of artificial volume totaling 1,36,000 units.
• The Noticee was found to have violated Regulations 3(a), (b), (c), (d), 4(1), and 4(2)(a) of the SEBI (Prohibition of Fraudulent and Unfair Trade Practices Relating to Securities Market) Regulations, 2003.
• The Noticee did not respond to the Show Cause Notice after multiple service attempts, including a public notice in March 2026.
• The Adjudicating Officer proceeded ex-parte, presuming the allegations were admitted due to the lack of response.

Also in the document

• The investigation period covered April 1, 2014, to September 30, 2015.
• The specific trades involved the same counterparty (Across Broking Pvt Ltd) reversing positions within seconds on the same day.
• The artificial volume generated by the Noticee contributed between 5.99% and 9.52% of the total market volume in the specific contracts involved.