Now Reading: SEBI chairperson warns of strict CAS action, bans two entities
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SEBI chairperson warns of strict CAS action, bans two entities
SEBI Chairperson Tuhin Kanta Pandey on Wednesday warned market participants that the regulator will take strict and immediate action against any manipulation of the newly introduced Closing Auction Session (CAS) mechanism. Speaking…
SEBI Chairperson Tuhin Kanta Pandey on Wednesday warned market participants that the regulator will take strict and immediate action against any manipulation of the newly introduced Closing Auction Session (CAS) mechanism. Speaking at the FICCI Capital Markets Conference in Mumbai, Pandey said the CAS system gives SEBI greater capability to detect manipulation compared with the earlier Volume Weighted Average Price-based system.
Hours after Pandey's warning, SEBI banned Copthall Mauritius Investments from the market and impounded nearly Rs 3 crore, alleging the foreign fund used manipulative trades in the sensex CAS on August 13 to illegally gain about Rs 2.96 crore. SEBI also banned Mansi Share & Stock Broking from trading in its proprietary account for similar illegal trades and impounded Rs 71.6 lakh. The regulator has directed both entities to appear before investigating officials within 21 days.
Pandey also said SEBI will release its study on retail and non-retail participation in the derivatives market for 2025-26 on August 20, with greater granularity than earlier reports. He added that the regulator plans to overhaul the SME IPO framework and indicated that new portfolio management services regulations would ease global fund management in India.
Indian Opinion Analysis
SEBI Chairperson Tuhin Kanta Pandey's Wednesday speech provides the through-line across all three sources, yet the coverage splits sharply on timing. The Hindu and Assam Tribune lead with Pandey's general warning about CAS manipulation, framing it as standard regulatory deterrence. Economic Times, publishing a day later, leads with the concrete action – SEBI's first CAS ban, against Copthall Mauritius Investments and Mansi Share – making Pandey's warning look like orchestrated signalling rather than spontaneous caution. The Hindu alone mentions Pandey's separate promises on derivatives data and SME IPO overhauls, giving a broader policy agenda absent from the other two. The Assam Tribune stays closest to wire-report mode, reproducing Pandey's full quote without adding investigative context. The regulatory credibility point here is execution: SEBI talked, then acted within hours. The next test will be whether SEBI releases its granular derivatives study on August 20 as promised, and whether the Copthall case leads to a formal penalty within the 21-day submission window.
Coverage: 3 sources, 3 neutral
Sources (3): thehindu.com (neutral report), assamtribune.com (neutral report), cfo.economictimes.indiatimes.com (neutral report)
This story was synthesised by AI from the 3 sources linked above.
Updated: this story now draws on 3 sources.
