Axis MF scam: ED arrests former head of equity trades
Viresh Joshi, who used to manage trades at Axis Mutual Fund, has been arrested by the Enforcement Directorate (ED) for allegedly running a front-running scam.
Between 2018 and 2021, he's accused of using secret trading info to make personal profits—leaving regular investors at a loss in a fund that manages over ₹2 lakh crore.
Joshi allegedly used advance knowledge of big client trades
Joshi allegedly used advance knowledge of big client trades to buy or sell ahead of them, mostly from Dubai using broker "mule" accounts.
The ED believes this earned him and his associates over ₹200 crore.
After an FIR last December, investigators raided multiple cities and froze assets worth ₹17.4 crore linked to Joshi and others.
He's now in ED custody until August 8 as they dig deeper into how far the scheme went and who else was involved.