OctaFX India Faces Scrutiny Amid Allegations: Settlement Reached with Sebi

OctaFX India settled a case with the Securities and Exchange Board of India (Sebi) by paying Rs 32 lakh. The company was found conducting unauthorized forex trading and is barred from applying for Sebi registration for five years and trading in securities for one. The company also must surrender its stock broker registration.

OctaFX India, a forex trading platform, has reached a settlement with the Securities and Exchange Board of India (Sebi) to resolve allegations of trading norm violations. The company agreed to pay Rs 32 lakh as part of the settlement.

According to the Sebi order, OctaFX India, now known as Taunga Pvt Ltd, will be ineligible to apply for any new registrations with the regulator for a period of five years. Additionally, the company is prohibited from participating in securities trading, whether directly or indirectly, for one year. Furthermore, Taunga Pvt Ltd is required to surrender its stock broker registration.

This settlement came after the company, without admitting or denying any findings, filed a settlement application in August of the previous year. Sebi launched an investigation after the Bombay Stock Exchange (BSE) highlighted that OctaFX was allegedly facilitating illegal forex trading by providing an unapproved platform in India.

(With inputs from agencies.)