Fri Jan 03 14:14:12 UTC 2025: ## SEBI Bans Ketan Parekh, Rohit Salgaonkar for Insider Trading

**Mumbai, India** – The Securities and Exchange Board of India (SEBI) has banned stock market operator Ketan Parekh and Singapore-based trader Rohit Salgaonkar from trading, seizing ₹65.77 crore in illegal earnings from Parekh. The ban follows a two-month investigation into a sophisticated insider trading scheme.

SEBI’s 188-page order details how Parekh, known for his involvement in a major stock scam in 2000, allegedly used a network of front runners, including brokers and their employees, to profit from confidential information provided by Salgaonkar. Salgaonkar, a trader for a large US-based fund house, allegedly shared non-public information about upcoming trades with Parekh, allowing him to execute profitable trades ahead of time. This practice, known as front-running, gave Parekh an unfair advantage in the market.

Parekh’s trading activities have been banned indefinitely, a repeat of a similar 14-year ban imposed after his previous conviction. Suspect bank accounts associated with Parekh have also been frozen. The SEBI action highlights a significant case of front-running, a sophisticated form of insider trading that utilizes confidential information to profit unlawfully from market movements. The case underscores SEBI’s ongoing efforts to combat market manipulation and protect investors.

**(Note: The SBI news regarding ease of bank accounts for NRIs is unrelated and omitted from this article for clarity.)**

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