The Securities and Exchange Board of India (SEBI) has issued an interim order on March 7, prohibiting JM Financial from accepting any new mandates to act as a lead manager for public issues of debt securities. However, the company can continue in this role for ongoing mandates for a period of 60 days from the date of the order.

SEBI’s action comes after a routine examination into public issues of non-convertible debentures conducted in 2023. The investigation focused on the activities of JM Financial Limited, JM Financial Services and JM Financial Products Limited in a particular debt issue.

In its interim order, SEBI expressed surprise at the manner in which subscriptions were managed in the public issue of debt instruments. The regulator described the transactions as being conducted in a predetermined and premeditated manner, orchestrated to ensure subscription and success.

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“The regulator noted that noticee (JM Financial) along with its connected group entities were prima facie noted to have given an assured exit to certain investors at a profit thereby incentivising them to apply in the public issue in contravention of the regulatory mandates,” it added.

“Sebi shall undertake an investigation into the issues covered under this orderCome from Sports betting site. The investigation so undertaken shall be completed within a period of six months from the date of this order,” the capital market regulator further stated in its order.Come from Sports betting site VPbet