Description
SEBI compliance completion order for recovery certificate against Sumit Kanungo and Riya Jain (Kanungo) in the matter of front running involving various funds of Fidelity Group.
Summary
SEBI has issued a completion order for Recovery Certificate No. 8995 of 2026 against Sumit Kanungo and Riya Jain (Kanungo) in connection with front running activities involving various funds of Fidelity Group. This order marks the completion of compliance proceedings in this enforcement matter.
Key Points
- Recovery Certificate No. 8995 of 2026 issued against Sumit Kanungo and Riya Jain (Kanungo)
- Case relates to front running activities involving Fidelity Group funds
- Completion order issued on January 16, 2026
- Order confirms compliance with recovery proceedings
- Enforcement action demonstrates SEBI’s commitment to preventing market manipulation
Regulatory Changes
No regulatory changes introduced. This is an enforcement/compliance order against specific individuals.
Compliance Requirements
- Sumit Kanungo and Riya Jain (Kanungo) are subject to the recovery certificate
- Parties must comply with the terms of Recovery Certificate No. 8995 of 2026
- This completion order confirms the enforcement proceedings have been concluded
Important Dates
- Order Date: January 16, 2026
- Recovery Certificate Number: 8995 of 2026
Impact Assessment
Market Impact: Medium - This is an individual enforcement case that does not affect broader market operations or trading rules.
Regulatory Significance: High - Front running is a serious violation of securities regulations. This completion order demonstrates SEBI’s active enforcement against manipulative trading practices that undermine market integrity.
Industry Impact: The case involves funds of Fidelity Group, a significant market participant. It serves as a deterrent against front running and reinforces compliance expectations for fund managers and associated persons.
Investor Protection: This enforcement action protects investors by penalizing those who engaged in front running, which gives unfair advantages and can harm fund performance for legitimate investors.
Impact Justification
High importance due to enforcement action involving front running violations. Medium impact as it concerns specific individuals rather than market-wide changes. Demonstrates SEBI's continued enforcement against market manipulation.