Jane Street Allegedly Uncooperative in Tax, Market Probe

US-based trading firm Jane Street is reportedly not cooperating with Indian Income Tax authorities, who are currently conducting an investigation into alleged tax violations linked to the Securities and Exchange Board of India’s (SEBI) ongoing market manipulation case, according to a government official.

Media reports said the firm has restricted access to crucial financial records and technology infrastructure necessary for the probe.
The development comes a day after the Income Tax Department searched the offices of Nuvama Wealth Management, Jane Street’s Indian trading partner, in connection with the same case.

On July 4, SEBI barred four entities of the Jane Street Group from participating in the Indian securities market, citing index manipulation. In an interim order, the regulator directed the group to disgorge ₹18.44 billion in alleged unlawful gains. SEBI’s findings revealed that the entities had infused significant funds into Nifty 50 and Nifty Bank index constituents to influence prices in the derivatives segment, particularly in options contracts.

Founded in 2000, Jane Street is a proprietary trading firm headquartered in New York.