India's market regulator, SEBI, lifted a trading ban on a JPMorgan Chase & Co. unit. The unit, Copthall Mauritius Investment Ltd., deposited ₹2.96 crore (about $311,000) in alleged unlawful gains.
SEBI had banned Copthall Mauritius Investment Ltd. in August. The ban also included a local brokerage. The regulator alleged manipulation of the BSE Sensex closing auction session. This manipulation allegedly benefited the unit's derivatives positions.
The general trading ban is now lifted, allowing Copthall Mauritius to access capital markets. However, the unit remains barred from the closing auction session. This restriction continues pending the investigation's final outcome.
The initial ban marked SEBI's first enforcement action. It related to the new closing auction system, introduced in early August.