BofA gets Sebi notice for sharing confidential info
Sharing of such information is in violation of Sebi’s rules.
BofA had initially denied any wrongdoing but subsequently moved for settlement with the regulator, reports said.
As a matter of policy, Sebi doesn’t comment on ongoing investigations and adjudicating processes.
BofA didn’t comment on TOI’s query on the Sebi notice. The Sebi notice and the enquiry were related to a $180-million block deal in the shares of the AMC in Feb-March of 2024.
During that time, several of BofA’s arms had shared valuation reports and other confidential information related to the block deal with investors, according to a report by Reuters.
According to a report by The Wall Street Journal, during the preliminary phase of the investigations by Sebi, BofA’s team had tried to conceal information about the block deal from the regulator and “made false statements”. Sebi’s notice said that while the AMC had appointed one of BofA’s arms to execute the deal on Feb 28, 2024, the formal announcement of the deal was on March 18, 2025.
In between BofA’s team that was working on the deal had contacted at least three potential institutional investors and shared privileged information about the stock, reports said.
