India lifted a trading ban imposed on an unit of JPMorgan Chase & Co. after it deposited 29.6 million rupees ($311,230) in a bank account to comply with an order by the country’s market regulator, according to people familiar with the matter.
Copthall Mauritius Investment Ltd., a JPMorgan unit based in the island nation, and Mansi Share and Stock Broking deposited the alleged unlawful gains last month related to trades in the closing auction session on the BSE on Aug. 13, one of the people said, asking not to be identified as the information is private. Both were accused by Securities and Exchange Board of India of market manipulation in an August interim order.
Representatives for JPMorgan and Mansi Share didn’t respond to an email request for comment. A spokesperson for the Indian regulator did not immediately respond to a request for comment.
While the regulator has allowed both entities to trade in India’s capital markets, its investigation into the alleged market manipulation will continue.
The market regulator had ordered both Copthall and Mansi Share to handover the gains after its investigation found that they executed manipulative trades during the end-of-day auction to influence the indicative equilibrium price of the BSE Sensex Index, benefiting their options positions on the benchmark.