Ex-fund manager of Axis MF settles case with Sebi

Mumbai: Axis Mutual Fund's former fund manager Deepak Agrawal has settled a case of professional misconduct with market regulator Sebi by paying ₹85.8 lakh as settlement amount.

The settlement terms also involved the clawback of over 43,300 mutual fund units allotted to Agrawal.

These units were redeemed and the amount was credited to Axis Quant Fund and Axis Value Fund, Sebi said.


The case stems from an inspection Sebi had conducted covering governance-related aspects of Axis Mutual Fund through a forensic audit for the period from April 1, 2020, to September 30, 2022.

Following the inspection, a show cause notice was issued to Agrawal on January 20, 2025.

The notice alleged that Agrawal provided stock tips and divulged specific information about stocks in which schemes of Axis Mutual Fund took or squared off positions, violating Sebi's mutual fund regulations.

"The Applicant (Agrawal) did not disclose directorship in a private limited company, made demands in kind for providing stock tips / information which was available to him as a fund manager, engaged in unethical behaviour, professional misconduct and has shared the research reports / information intended for the mutual fund with outsiders in violation of regulation..." Sebi said in its order on Monday.

The regulator also alleged that Agrawal passed on information to employees of listed equity alternatives, inducing them to buy / sell securities which were being bought and/or sold by the mutual fund.