Jane Street went back to the tribunal asking for extra documents and internal communications to contest the interim order, even probing how the case got started. Kicking off Tuesday's arguments, SEBI's lawyer, Gaurav Joshi, reached for a Hindi saying that he translated as "the thief reprimanding the police," casting the firm's move as an attempt to flip the script on the watchdog. He argued Jane Street is aiming at SEBI's process instead of detailing its trading approach and addressing the order itself. Proceedings are set to continue on Wednesday.
Joshi said the regulator is obligated to hand over only the materials it relied on to issue the order, and that broader disclosure could compromise an active investigation. He further asserted the company has "succeeded in delaying" proceedings for a year and a half. The interim order dated July 3, 2025 not only paused Jane Street's trading in Indian securities but also directed authorities to confiscate 48.4 billion rupees ($503 million) alleged to be illicit profits. The firm has deposited the amount into an escrow account and has not restarted trading in the country.
Regulatory fights over trading records shape what firms can actually do in a market. Market Briefs covers these disputes free every morning.
Jane Street's latest push for documents followed its claim that SEBI's surveillance unit and the National Stock Exchange had earlier found no manipulation. Joshi countered that the NSE's review was "preliminary," while SEBI's earlier look was a "pre-investigative" finding. He also pointed to an NSE caution letter to the firm and said Jane Street ignored it.
SEBI's case centers on an allegation that Jane Street influenced prices of stocks within the NSE Nifty Bank Index, the base for some of India's most heavily traded options. Whatever the outcome, it may recalibrate how global trading firms assess the hazards of participating in one of the world's biggest derivatives markets. For individual investors, the headline is simple: when big players reassess risk, the tone of a market can shift, and India is squarely on their radar.
How India handles this case will set precedent well beyond one firm. Get the free Market Briefs daily newsletter and follow the ruling.
