SEBI Sends Show-Cause Notices to 6 Capital Group Entities in Front-Running Probe
Updated
Updated · Bloomberg · May 21
SEBI Sends Show-Cause Notices to 6 Capital Group Entities in Front-Running Probe
4 articles · Updated · Bloomberg · May 21
Six Capital Group-linked foreign portfolio investor entities received show-cause notices from India’s Securities and Exchange Board over trades flagged in an early-2025 front-running case, people familiar with the matter said.
SEBI is seeking information on those local stock-market trades, marking the first time the US-based investment firm has been named in connection with the investigation.
The notices signal the probe has widened from suspicious trading activity to direct scrutiny of specific foreign investor entities operating in India.
Will SEBI's probe into a US giant prove India's market integrity or scare away foreign investment?
With Capital Group facing front-running allegations, how genuine are the ESG promises of global investment firms?
Can regulators effectively police high-speed trading, or is technology always one step ahead of the law?