Shares of IIFL Securities fell up to 2 percent to Rs 222 apiece on June 27 after reports surfaced that market regulator Sebi has been investigating market expert Sanjiv Bhasin for his role in alleged stock market manipulation.
So far this year, the stock of this online trading platform surged over 55 percent, outperforming benchmark Nifty 50 index that climbed by 9 percent during the same period.
Catch all the market action in our LIVE blog
According to reports, Sebi has been probing allegations of market manipulation and front-running against Bhasin by examining his digital devices as part of gathered evidence.
Front-running is an unethical practice where a broker or trader takes advantage of pending orders from their clients to engage in advantageous trades. This allows the broker to profit or avoid losses by entering into trades before executing the client's orders.
Bhasin's contract with IIFL Securities was terminated after he informed the brokerage of SEBI's investigation. His term was to end on June 30, 2024. However, due to health reasons, his contract was discontinued prematurely with effect from June 17, 2024.
Bhasin has represented IIFL Securities on several media platforms and is a regular market guest on a financial news channel.
"Bhasin informed us about Sebi's enquiry but the details of the same were not disclosed to us. Hence, we will not be able to comment. Please note that he was not a member of the board of directors of IIFL Securities Ltd or any other group company or affiliates," IIFL Securities said in a statement.
Disclaimer: The views and investment tips expressed by investment experts on Moneycontrol.com are their own and not those of the website or its management. Moneycontrol.com advises users to check with certified experts before taking any investment decisions.
Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
