Angel Broking paid $450,000 to settle case with Sebi
Stock broker Angel Broking has settled a case of alleged misutilisation and non-settlement of clients' fund with regulator Sebi by paying nearly $450k towards settlement charges.
Sebi conducted an inspection of the books of accounts of Angel Broking during September 19-23 and October 19-21 in the year 2016.
During the inspection, Sebi observed that the stock broker "met the pay-in obligation of clients having debit balance from the funds of clients having credit balance", Sebi said.
Moreover, it was not settling running accounts of the inactive clients periodically, the regulator added.
By doing so, Angel Broking allegedly violated code of conduct for stock brokers. Accordingly, adjudicating proceedings were initiated against Angel Broking and a show cause notice was sent on Ma...