Jane Street engages Khaitan for defense in manipulation case
India's market regulator SEBI has accused US trading giant Jane Street of rigging the prices of Bank Nifty and Nifty indices on expiry days between January 2023 and March 2025.
According to SEBI, this price manipulation let Jane Street pocket illegal profits worth ₹4,843 crore.
Jane Street manipulated prices on multiple days
SEBI says Jane Street bought up large amounts of Bank Nifty stocks and futures in January 2024, driving up the index price.
The firm then sold overpriced call options and picked up cheap put options to cash in on the artificial spike.
As a result, SEBI has banned Jane Street from India's markets and ordered it to give up its profits for breaking securities laws.
Jane Street is fighting back legally, but for now, the case is still open as SEBI pushes ahead with further action.