SEBI penalises Axis Bank for violating merchant bankers regulations
Zee News
Sebi had conducted an examination of the debt capital market operations of Axis Bank during the August 2016 to August 2019 period.
New Delhi: Markets regulator Sebi on Thursday imposed a fine of Rs 5 lakh on Axis Bank for violation of merchant banker regulations. Axis Bank is registered as a merchant banker with the Securities and Exchange Board of India (Sebi).
The regulator had conducted an examination of the debt capital market operations of Axis Bank during the August 2016 to August 2019 period. It was observed that Axis Bank (noticee) had acted as the merchant banker in respect of 22 public issuances of debt of various companies during the given period.
During that time, it had also acquired securities in respect of 9 public issues of debt made by the said companies.
However, Axis Bank failed to make the requisite disclosures under the merchant bankers regulations following which Sebi has imposed a penalty on the entity.
Under Sebi norms, every merchant banker should submit complete particulars of the transactions relating to the acquisition of securities of the body corporate whose securities are managed by the merchant banker. This has to be done within 15 days from the date of such transactions.
