Quant Mutual Fund responds to SEBI's probe, assures full cooperation
Quant Mutual Fund, established by Sandeep Tandon, has clarified to its investors following allegations of front-running by the Securities and Exchange Board of India (SEBI). The company confirmed receiving inquiries from the regulator and pledged full cooperation throughout the review process. "Recently, Quant Mutual Fund has received inquiries from SEBI, and we want to address any concerns you may have regarding this matter," stated the company in its response.
SEBI conducts search operations
SEBI has reportedly conducted search and seizure operations at two locations of Quant Mutual Fund in Mumbai and Hyderabad, suspecting front-running activities. The alleged profits from these operations are estimated to be around ₹20 crore. Moneycontrol reported that besides the Mumbai headquarters, another search location was a suspected beneficial ownership connection in Hyderabad.
SEBI questions Quant dealers
SEBI has also interrogated dealers and individuals associated with Quant Mutual Fund in connection to the case. The extent of involvement of the fund's management in the alleged front-running activities remains unclear. Front-running is an unlawful practice where those with knowledge of upcoming large trades place their own orders beforehand, profiting from anticipated price movements when the large trade is executed.
