The Securities and Exchange Board of India (Sebi) has barred JM Financial from acting as the lead manager for any public issue of debt securities until March 31, 2025 due to alleged fraudulent practices.
This follows after JM financial, in a voluntary undertaking, agreed to most directions given by Sebi in its interim order Come from Sports betting site VPbet . The company has also agreed to not contend Sebi’s ongoing investigation and wants to resolve the matter through the regulator’s settlement mechanism.
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According to a statement by JM Financial, the order clarifies that the directions contained in it are limited to the company’s role as a lead manager to public issue of debt securities and does not relate to other activities, including acting as a lead manager to public issue of equity instruments.
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Further, JM Financial has decided to voluntarily discontinue its entire IPO financing business, through subsidiary JM Financial Products, Sebi said in a confirmatory order on Thursday.
In March, Sebi had alleged that JM Financial incentivised certain investors to apply in the public issue and carried out transactions in a predetermined manner to ensure subscription and success.