Quant Mutual Fund clarifies CFO resigned in February before Sebi's raid

Quant Mutual Fund, which has been under Sebi’s investigation in a suspected front-running case, has informed investors that its Chief Financial Officer (CFO) Harshal Patel resigned in February before the market regulator’s raid last month.

“Shashi Kataria has been appointed as Chief Financial Officer, Operations Head and Executive Director of Quant Money Managers Limited with effect from July 01, 2024, in place of Harshal Patel who has resigned due to his personal reasons,” Quant Mutual Fund said in a notice earlier this month.

Later in the day, the AMC issued a clarification saying that Patel had tendered his resignation on 19th February, 2024 and the last day of his service with the company was on 19th May, 2024.


"Shashi Kataria joined us on 10th June, 2024 and the Board Meeting was convened on 1st July, 2024 and was appointed as Chief Financial Officer, Operations Head and Executive Director of quant Money Managers Limited," it said on social media platform X.


Kataria has previously worked with PPFAS AMC as CFO, COO and Director. He was also associated with DSP Blackrock Investment Managers as Manager Finance.

During raids on Quant’s Mumbai headquarters and Hyderabad premises last month, Sebi had seized mobile phones, computers, and other digital devices. This move was a part of an effort to trace the source of leaked confidential information allegedly used for illicit profit. Sebi suspects that the front-running may involve a dealer from a Quant entity or a broking firm through which the asset management company places orders.

Quant Mutual Fund CEO Sandeep Tandon had said earlier that the operations at the fund house were running smoothly. The fund house has always demonstrated resilience and outperformance in challenging circumstances and will continue to deliver such performance at par with their style, he had said.

According to a report by Value Research Online, Quant Mutual Fund faced its first weekly net outflows of 2024 in June’s final week of Rs 2800 crore This outflow was seen as breaking a six-month streak of positive inflows by the fund house. During June 24-30, a net outflow of Rs 2,800 crore was seen which is approximately 3% of the previous week’s assets under management (AUM).