SEBI Bars Former IIFL Director Sanjiv Bhasin from Markets Over Stock Manipulation
The Securities and Exchange Board of India (SEBI) has taken stringent action against Sanjiv Bhasin, a former director of IIFL Group, by restraining him from participating in the securities market. The move comes after SEBI found him involved in stock manipulation activities that violate market regulations.
The regulator's investigation revealed that Bhasin allegedly engaged in fraudulent transactions aimed at artificially inflating stock prices and misleading investors. Such manipulative practices distort the normal functioning of the securities market and undermine investor confidence.
SEBI’s order highlights that Bhasin’s actions were in direct contravention of the Securities and Exchange Board of India Act, 1992, and various rules framed under it. The charges include manipulation, unfair trade practices, and breach of fiduciary responsibilities.
The probe into Bhasin’s conduct was initiated based on complaints and data analysis indicating suspicious trading patterns linked to his accounts. SEBI’s surveillance team used advanced analytical tools to track irregularities, which ultimately led to this decisive action.
Apart from restraining Bhasin from the market, SEBI has also imposed monetary penalties as a deterrent to others who may consider engaging in similar malpractices. The regulator reiterated its commitment to maintaining market integrity and protecting investors’ interests.
IIFL Group, where Sanjiv Bhasin served as a director, has stated that it is cooperating fully with regulatory authorities and has taken internal steps to strengthen compliance frameworks. The company distanced itself from the alleged activities and emphasized adherence to ethical standards.
Market experts believe that SEBI’s stringent action against a high-profile individual like Bhasin sends a strong message about the regulator’s zero-tolerance policy on stock market manipulation. This is expected to deter unethical trading practices across the industry.
Investor groups have welcomed SEBI’s intervention, stating that such enforcement is crucial for building trust and transparency in the financial markets. They stressed the importance of vigilant regulatory oversight to prevent manipulation and safeguard retail investors.
The case is part of SEBI’s broader crackdown on market irregularities, which includes monitoring suspicious trades, insider trading, and fraudulent schemes. The regulator has intensified surveillance efforts with the help of technology and data analytics to detect and act against violations swiftly.
As the investigation proceeds, SEBI may initiate further actions depending on additional findings. Meanwhile, the financial community awaits updates on the regulatory steps to uphold fair market practices and ensure accountability among market participants.
FAQ
SEBI Restrains Former IIFL Director Sanjiv Bhasin Over Stock Manipulation
Q1. Why did SEBI restrain Sanjiv Bhasin from the securities market?
SEBI found Sanjiv Bhasin involved in stock manipulation activities, including artificially inflating stock prices and engaging in unfair trade practices.
Q2. What specific violations is Sanjiv Bhasin accused of?
He is accused of violating the SEBI Act, engaging in stock manipulation, unfair trading, and breaching fiduciary responsibilities as a former director.
Q3. Has SEBI imposed any penalties besides market restraint?
Yes, SEBI has also levied monetary penalties on Sanjiv Bhasin as a deterrent against such malpractices.
Q4. What role did the IIFL Group play in this case?
IIFL Group stated it is cooperating fully with SEBI and has strengthened its compliance processes. The company distanced itself from Bhasin’s alleged activities.
Q5. How does SEBI detect stock manipulation?
SEBI uses surveillance teams and advanced data analytics to monitor suspicious trading patterns and identify irregular market behavior.
Q6. What message does SEBI’s action send to the market?
SEBI’s action reinforces its zero-tolerance policy against market manipulation and aims to maintain investor trust and market integrity.
Q7. Will this action affect other market participants?
Yes, such enforcement serves as a warning to others in the market against engaging in fraudulent or manipulative activities.
Publish on JUNE 18,2025 by :selvi
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