SEBI v. IIFL Securities Limited (Alkem Laboratories block deal reference price, settlement, 2022)

Settled

✓ Checked against the primary document on October 9, 2026. The library's summary, tags and figures for this record were compared with the regulator's own document by an AI model (Claude) following written instructions, in a single reading of the order; an independent second reading of 60 SEBI records agreed on every field for 56, the four misses being penalty amounts; a later sample of 50 of the SEBI records added on 9 October agreed on every field for 46. No lawyer has reviewed them. A checked record can still contain errors, and checked does not mean endorsed. See how we check records or report a correction.

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In February 2022 SEBI settled adjudication proceedings against stockbroker IIFL Securities Limited over alleged influence on the reference price used for a block deal in Alkem Laboratories shares in August 2019. IIFL Securities paid Rs 2,21,92,125, neither admitting nor denying the allegations.

The record

What was ordered

Civil penalty

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Disgorgement

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Prejudgment interest

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Total relief

—

Alleged gain

—

Penalty as published

22.2m INR

A dash means the release did not state a figure we could extract, not that the figure is zero. Penalty and disgorgement are stored separately so aggregates across the library do not double-count the same dollars. This regulator states penalties in INR. The figure is recorded as published and is not converted, so it does not appear in the USD totals or medians used elsewhere on this site.

What is alleged to have happened

The settlement order of 25 February 2022 was issued by a SEBI adjudicating officer and concerns IIFL Securities Limited, a registered stockbroker, in the matter of Alkem Laboratories Limited, which is listed on the BSE and NSE.

SEBI had examined block deals for manipulation of the reference price. It observed that on 22 August 2019 the Prasid UNO Family Trust sold shares in a block deal in the afternoon window and also sold 92,000 shares in the cash segment during the 13:45 to 14:00 volume-weighted average price period, which was 83.76 percent of the shares traded in that period. The trade price before the sell order was about Rs 1,760.70; a limit sell order at Rs 1,700 brought the average to Rs 1,725.70, which was then used as the reference for the block sale at Rs 1,708.45.

The show cause notice of 16 April 2021 alleged that IIFL Securities and a related IIFL entity, to meet commitments to both seller and buyers, knowingly traded in that window and influenced the average price. It said they contributed 25.86 percent and 18.89 percent of negative last-traded-price movements and 75.38 percent and 53.74 percent of net price impact on the BSE and NSE respectively. SEBI alleged breach of section 12A(a), (b) and (c) of the SEBI Act, Regulations 3, 4(1) and 4(2)(e) of the PFUTP Regulations and the stock brokers' code of conduct. These remained allegations.

IIFL Securities applied to settle in June 2021 without admitting or denying the findings. After the internal committee meeting and a recommendation of the High Powered Advisory Committee in December 2021, the panel of whole time members approved a settlement of Rs 2,21,92,125, which the firm remitted on 11 February 2022. The proceedings under the notice were disposed of, with SEBI reserving the right to restore them if representations prove untrue or undertakings are breached.

The record does not show the outcome for the related IIFL Wealth Management entity, the profit or loss from the trades, or the trust's own position. It records no criminal case.

This library tags the matter as price manipulation, because the allegation is that trading in a short window moved the reference price of a block deal. The tagging is ours, not the regulator's.

For the regulator's own account of the facts, read the primary document linked above. This page deliberately summarises the structured record rather than reproducing the order.

What technique is this, and how does it work?

This action is tagged with one technique in our taxonomy. The tagging is ours: regulators charge statutory provisions, not technique names, so the mapping is an editorial judgement described in our editorial policy.

• Price manipulation — see how it works, what statute it engages, and every other action tagged the same way.

Timeline

1. 2022-02-25 SEBI settlement order

Primary documents

Everything on this page derives from the documents below. Where our summary and the primary document disagree, the primary document is right.

• SEBI order

The linked release is published by the issuing regulator under its own terms. Our summary and narrative above are our own writing.

Related actions

Other actions in the library sharing at least one technique tag with this one.

Record added October 8, 2026. submit a correction.