Sebi sends notice to 5 Asset Management Companies in insider trading case

SBI Fund Management, ING Mutual Fund (now Birla Sunlife) and BNP Paribas are among the list of companies

Sebi has issued showcause notices to five Asset Management Companies (AMCs) for alleged breach of insider trading regulations.

SBI Fund Management, ING Mutual Fund (now Birla Sunlife) and BNP Paribas are among these. They are all charged with use of of price-sensitive information for trading in the scrip of Manappuram Finance (MFL) in March 2013. Notices have been also issued to Ambit Capital, its former chief executive officer, Saurabh Mukherjea, and to MFL and its top management.

This comes at a time when mutual fund houses are bleeding due to their significant exposure in crisis-hit Zee Enterprises, DHFL and IL&FS.

The Sebi notices