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Following the deposit of Rs 4,843 crore, the restrictions imposed by Sebi’s interim order are no longer applicable.
Earlier this month, the markets regulator in an interim order had barred the Jane Street Group from participating in Indian securities markets.
The Securities and Exchange Board of India (Sebi) on Monday allowed Jane Street to restart trading after the US high-frequency trading firm deposited $567 million (Rs 4,843 crore), news agency Reuters has reported citing two sources aware of the matter.
The regulator sent an email to the firm on Friday in which it said that following the deposit of the money the restrictions imposed by its interim order are no longer applicable, said the report citing the sources who declined to be named because they are not authorised to speak to media.
Earlier this month, the markets regulator in an interim order had barred the Jane Street Group from participating in Indian securities markets. Sebi had banned the Jane Street entities from trading or accessing Indian markets, frozen an amount of Rs 4,843 crore, and given the group 21 days to respond or request a hearing.
Jane Street could resume trading if an equivalent amount was deposited in an account that gives the regulator rights over the money until its investigation is complete, the Sebi order stated.
The regulatory action came after an extensive investigation into alleged manipulation of the Indian stock market through index derivatives, particularly Bank Nifty options, which earned the company massive profits of over Rs 36,500 crore between January 2023 and March 2025.
What Is Jane Street?
Founded in 2000, Jane Street is a US-based leading global trading firm that operates as a proprietary trading company. Unlike hedge funds, Jane Street trades using its own capital. It has operations across the US, Europe, and Asia, specialising in high-frequency trading and algorithmic strategies. The firm has over 2,600 employees and is known for its sophisticated quantitative models and automated market-making systems.
In India, it operated through four firms — JSI Investments Pvt Ltd, JSI2 Investments Pvt Ltd, Jane Street Singapore Pte Ltd, and Jane Street Asia Trading Ltd.
How Did Jane Street Earn Rs 36,500 Crore By Allegedly Tricking Indian Stock Markets?
Between January 2023 and March 2025, Jane Street entities made over Rs 43,289 crore in profits from index options, particularly Bank Nifty (BANKNIFTY) using various strategies that allegedly manipulated markets. These profits were partly offset by losses in other segments like stock futures and cash equity, resulting in a net gain of Rs 36,502 crore.
In a 105-page order, Sebi highlighted two key manipulative strategies — ‘Intraday Index Manipulation Strategy’ and ‘Extended Marking the Close Strategy’.
A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al…Read More
A team of writers and reporters decodes vast terms of personal finance and making money matters simpler for you. From latest initial public offerings (IPOs) in the market to best investment options, we cover al… Read More
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