BofA Securities India Settles Alleged Insider-Trading Matter

BofA Securities India has settled a case related to alleged insider trading and violations of merchant banking regulations with the Securities and Exchange Board of India by paying Rs 58.5 lakh.

Sebi had issued a show-cause notice to the firm in May 2025, alleging that, in its capacity as a merchant banker, it failed to maintain a structured digital database (SDD) as mandated under the Prohibition of Insider Trading (PIT) Regulations. 

An SDD is a key mechanism used to track individuals who have access to unpublished price-sensitive information.

BofA Securities filed a settlement application in July 2025, without admitting or denying the findings and conclusions of the regulator.

Sebi's high-powered advisory committee met in February 2026 and recommended the settlement amount, which was subsequently approved by the regulator's panel of whole-time members in April 2026.

Following the payment, Sebi has disposed of the proceedings.

-- Business Standard