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Sebi probes Quant Mutual Fund over alleged front-running activities
24-Jun-24   14:36 Hrs IST
Securities and Exchange Board of India (Sebi) is investigating Quant Mutual Fund, one of the country's rising asset managers, over suspected front-running activities. Front-running is an illegal practice where someone uses privileged information about upcoming trades to make personal profits before executing those trades for clients.

According to the media reports, Sebi's investigation was triggered by alerts from their surveillance system which indicated a pattern of transactions by certain entities suspiciously matching those of Quant Mutual Fund. This raised concerns about potential information leakage.

To gather evidence, Sebi reportedly conducted search and seizure operations at Quant's headquarters in Mumbai and the locations of suspected beneficiaries in Hyderabad. Electronic devices like mobile phones and computers were seized for examination.

Quant Mutual Fund has acknowledged receiving inquiries from Sebi and assured investors of their full cooperation with the investigation. In a statement, Quant emphasized their commitment to regulatory compliance and transparency. They added that they would continue to provide Sebi with all necessary support and data.

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