MUMBAI: Markets regulator Sebi ran “search and seizure” operations against 16 entities across Maharashtra and Gujarat, including offices of Axis Mutual Fund, stockbrokers and individuals in its probe of alleged wrongdoings by two of its former fund managers, sources have said.
Various records, documents and digital evidence were seized from these entities, said one of the sources.
A query to Sebi to confirm the action remained unanswered.
The fund house last week terminated the services of the fund manager Viresh Joshi and assistant fund manager Deepak Agrawal— alleged to be at the centre of front running, receiving kickbacks from brokers and running trades detrimental to investors’ interest.
Front running involves taking huge positions in stocks ahead of large deals to profit from unpublished sensitive information.
Axis Bank began a suo moto investigation against the two based on certain market chatter.