In its order Sebi barred it from trading in the securities market but subsequently lifted the ban after the trading firm deposited ₹4843.5 crore as directed by the regulator
US-based trading firm Jane Street has sought an extension from the Securities and Exchange Board of India to respond to its interim order issued on July 3 when the Indian markets regulator had said it had manipulated prices through the use of Indian index derivatives.
In a statement the firm said, “We are engaging constructively with SEBI and have sought an extension to respond to the interim order issued on July 3.” The regulator had given it 21 days to respond to the allegations in the interim order.
Jane Street said in the statement it was “committed to conduct that upholds the integrity of India’s capital markets and contributes to their continued development.”
In its order SEBI barred it from trading in the securities market but subsequently lifted the ban after the trading firm deposited ₹4843.5 crore as directed by the regulator. SEBI said the activities of Jane Street would be closely monitored by the exchanges.
‘Sinister scheme’
The quantitative trading firm was accused by SEBI of perpetrating a ‘sinister scheme’ and manipulating prices in its favour and led to small investors trading at ‘unfavourable and misleading prices.’
According to reports, the firm had said in an internal email to its employees that it would challenge the order and has also appointed lawyers to advise it.
SEBI’s investigations showed that the manipulative trading activity occurred on the Nifty Bank index. The regulator is understood to be investigating whether it manipulated prices on the BSE derivatives market as well.
Published on July 28, 2025