Antique Stock Broking Settles Front-Running Allegations

Mumbai's Antique Stock Broking has reached a settlement with the Securities and Exchange Board of India (Sebi) over allegations of front-running trades for a significant client, following a payment of Rs 22.44 lakh to cover settlement charges.

Front-running is an illicit stock market practice where trading occurs based on confidential information from a broker or analyst before it reaches clients. The matter surfaced after Sebi investigated whether trades from a large client were being improperly competed on by Antique Stock Broking and other entities during January 2022 to December 2023.

On April of this year, Antique Stock Broking filed a settlement application, suggesting resolution of the proceedings without admitting fault, after a show cause notice was issued on February 2025. Sebi approved the settlement terms but warned that it retains the right to reopen the case if the company's representations are shown to be inaccurate or if the terms are violated.

(With inputs from agencies.)