Axis Mutual Fund Scandal: Unraveling the Rs 200 Crore Fraud

Viresh Joshi, a former chief trader at Axis Mutual Fund, has been apprehended by authorities for his involvement in a major financial scandal. Joshi faces accusations of duping investors by engaging in front-running trade activities, accumulating a massive Rs 200 crore through unethical practices.

The Enforcement Directorate initiated searches on August 1 across various Indian cities as part of their comprehensive investigation. Suspicions revolve around the advance exploitation of confidential trade data to gain illegal profits, compromising the securities market's integrity.

This high-profile case, rooted in a 2024 FIR by Mumbai Police, reveals the manipulation of trade information to conduct preemptive stock trades. Alleged accomplices used mule trading accounts, with proceeds funneled through shell entities. Joshi and others are accused of amassing over Rs 200 crore in illicit funds.

(With inputs from agencies.)