Jane Street Deposits ₹4,843 Crore, Cleared to Resume India Trading

Global proprietary trading firm Jane Street Group has reportedly fulfilled the Securities and Exchange Board of India (SEBI)'s directives, depositing an impressive ₹4,843.5 crore into a dedicated escrow account. This move effectively lifts the trading restrictions previously imposed on the firm, paving the way for its return to the Indian securities markets.

The decision comes after SEBI's interim order on July 3, which temporarily barred Jane Street from participating in Indian markets. The market regulator had mandated the deposit of suspected gains into an escrow account with a scheduled commercial bank in India, with a lien marked in SEBI's favour. Furthermore, strict instructions were issued prohibiting the firm from engaging in any securities transactions—directly or indirectly—until compliance was achieved. Banks, custodians, depositories, registrars, and transfer agents were also ordered to block any movement of Jane Street's assets until the specified deposit was made.

With the escrow deposit now successfully completed, the trading restrictions have been lifted. However, sources cited by Moneycontrol indicate that SEBI's order includes a specific directive for Jane Street to refrain from activities deemed manipulative, fraudulent, or unfair under existing regulations. The firm has also been explicitly told not to deploy the trading strategy that SEBI flagged in its interim order.

While Jane Street has met the regulatory precondition, it remains to be seen whether the firm will immediately dive back into trading or adopt a more cautious approach. It might choose to evaluate regulatory signals and market conditions before fully reactivating its India operations.

SEBI has also reportedly instructed Indian exchanges to closely monitor Jane Street's future dealings to ensure ongoing compliance and prevent any potential market manipulation.

The regulator has indicated that if Jane Street or its entities present legally justifiable reasons challenging the findings of the interim order, the restrictions could be reconsidered. Moreover, if the ongoing investigation concludes that no manipulation occurred, the impounded funds may be released, allowing the firm to operate in India without any limitations.

For now, the completion of this significant deposit clears the path for Jane Street to resume its trading activities within the framework of SEBI's regulations.