Fri Aug 01 18:19:10 UTC 2025: Here’s a summary of the text and a rewrite as a news article for The Hindu:
**Summary:**
The Enforcement Directorate (ED) conducted searches across five states in India regarding an alleged scam involving Axis Mutual Fund. The scam, based on a Mumbai police FIR, involves a former fund manager, Sri Viresh Joshi, using confidential information about Axis Mutual Fund trades to engage in front-running, generating illicit profits. The ED has identified over ₹200 crore in proceeds of crime. Searches were conducted in Delhi, Ahmedabad, Bhavnagar, Bhuj in Gujarat, Gurugram in Haryana, Kolkata in West Bengal, and Ludhiana in Punjab and evidence indicates the use of a Dubai terminal to execute trades and the involvement of other traders and brokers.
**News Article:**
**ED Raids Across Five States in Axis Mutual Fund Scam Probe**
**NEW DELHI, August 1, 2025, 11:49 pm IST** – The Enforcement Directorate (ED) today conducted a series of raids across five states in connection with an alleged scam involving Axis Mutual Fund, with losses estimated at over ₹200 crore. The searches were carried out in Delhi, Ahmedabad, Bhavnagar, Bhuj, Gurugram, Kolkata, and Ludhiana, targeting individuals and entities suspected of involvement in the scheme.
The investigation stems from a First Information Report (FIR) filed by the Mumbai police in December 2024, accusing Sri Viresh Joshi, a former fund manager at Axis Mutual Fund, of exploiting confidential information related to fund trades. According to sources within the ED, Joshi is suspected of engaging in “front-running,” a practice where individuals trade stocks based on privileged information about impending larger trades by the fund, thereby generating illegal profits.
“The accused has thereby cheated the investors of Axis Mutual Fund, which holds assets under management of more than ₹2 lakh crore,” stated an agency official, speaking on condition of anonymity.
The ED alleges that illegal profits were generated through front-running activities on scripts traded by Axis Mutual Fund between 2018 and 2021. Investigators have uncovered evidence suggesting that a trading terminal in Dubai was used to execute front-running orders through various “mule” accounts obtained from different brokers.
“In addition to the accused Sri Viresh Joshi, investigation has revealed that many other traders/brokers had also misused the advance inputs on Axis Mutual Fund Trades and indulged in front running to generate illicit trade profits, which is nothing but proceeds of crime (PoC),” the official added.
The ED has so far identified over ₹200 crore as proceeds of crime. The investigation is ongoing, and further arrests and asset seizures are expected as the ED continues to unravel the extent of the alleged fraud. The case has raised serious concerns about the integrity of the financial markets and the potential for insider trading within major investment firms.
First Piper 