SEBI senior official and ex-trader leading Jane Street probe ends term

Core Viewpoint - The investigation into Jane Street Group LLC by India's Securities and Exchange Board (SEBI) is ongoing, led by Ananth Narayan, who is set to depart as his term ends, raising questions about the continuity of the probe [1][2][3]. Group 1: Investigation Details - Ananth Narayan, a senior official at SEBI with a trading background, has been pivotal in the investigation against Jane Street, which is accused of manipulating India's stock and derivatives markets [2][3]. - The case against Jane Street is one of the largest ever initiated by SEBI against a foreign firm, drawing significant global attention and concerns about potential regulatory tightening [4]. - SEBI's July order accused Jane Street of using its substantial trading capabilities to manipulate markets, particularly on expiry days of index options [6]. Group 2: Financial Implications - Jane Street has deposited ₹4,840 crore ($545 million) in an escrow account to comply with SEBI's July ruling, which allowed the lifting of a temporary trading ban [7]. - The firm reported a record $10.1 billion in net trading revenue in the second quarter, highlighting its financial strength despite the ongoing legal challenges [7]. Group 3: Legal Proceedings - Jane Street has not resumed trading in India since the July order and is seeking a pause in legal proceedings until its appeal is heard, citing the regulator's withholding of crucial documents [7][8]. - The Securities Appellate Tribunal is scheduled to hear the case on November 18, with SEBI required to provide a written defense [8].