Sebi shares trade data with Jane Street, seeks response to allegations

India’s markets regulator told a local court that it has shared with Jane Street Group LLC the trade logs it relied upon for its preliminary order against the Wall Street trader, pressing the firm to respond to the accusations of market manipulation.

The Securities and Exchange Board of India has provided time, quantity and pricing details of actual trades, Gaurav Joshi, a lawyer for the regulator, said. Until Monday, Jane Street’s lawyer had argued that most of the information in the trade logs was redacted.

Sebi has withheld names and tax identification of counterparties, and will not share additional details because it did not base the probe on those records, Joshi said.

The trades are central to the regulator’s allegation that Jane Street influenced the pricing of stocks in the NSE Nifty Bank Index, a closely watched benchmark that serves as the foundation for heavily traded options contracts. The outcome of the dispute could shape global trading firms’ perception of how high-frequency traders would be regulated in one of the world’s largest derivatives markets.

Jane Street has been seeking additional documents, including Sebi’s communication with the National Stock Exchange, that led to the investigation.

The firm has sought details of as many as 60 emails exchanged between Sebi and the NSE, Joshi said. The regulator is not legally bound to furnish this information even after the probe, he said. Sebi had previously said that such communication can be considered by the court after the investigation is completed.

At some stage the court has to put a stop to this request for documents, Joshi said, concluding his arguments. Jane Street will present its rebuttal on Thursday.

Earlier in the week, Joshi argued that the Wall Street trader purchased stocks worth more than 43 billion rupees ($444 million) in the cash market over two hours and simultaneously sold options worth over 320 billion rupees. Within a few hours, Jane Street dumped the shares, which benefited its derivatives position, Sebi said, citing this as evidence of intent to manipulate the market.

The regulator’s interim order of July 2025 had temporarily barred Jane Street, asking it to deposit alleged unlawful gains of 48.4 billion rupees in an escrow account. While the firm deposited the amount, it hasn’t resumed trading in India yet.