BofA Securities settles insider trading case with Sebi

MUMBAI BofA Securities India has settled a case of alleged violation of insider trading rules with market regulator Sebi by paying a settlement amount of ₹58.5 lakh. The case relates to alleged violations of insider trading and merchant bankers regulations. Last year in May, Sebi had issued a show cause notice to BofA Securities, alleging the merchant banker had failed to maintain a structural digital database (SDD) as prescribed under insider trading norms.

Listed companies, intermediaries and fiduciaries handling unpublished price sensitive information (UPSI) are required to maintain SDD internally.

Sebi had tightened insider trading rules in 2019 around information leakage by mandating SDD, an electronic record used to track sharing of UPSI.


The regulator has initiated adjudication proceedings against the merchant banker. During the pendency of the proceedings, BofA Securities India filed a settlement application with Sebi in July 2025.