Sebi penalises SMC Global Securities for compliance lapses
The Securities and Exchange Board of India (Sebi) has fined SMC Global Securities ₹1 lakh for failing to maintain proper client order records and for inadequate supervision of an authorized person. The penalty follows a thematic inspection that uncovered compliance lapses regarding client payouts and order placement.
Why it matters
This enforcement action underscores the regulator's commitment to maintaining market integrity and protecting retail investors from broker misconduct.
Capital market regulator Sebi has levied a ₹1 lakh fine on city-based SMC Global Securities for failing to comply with norms on maintaining client order-placement records and supervision of an authorised person.
The order came after the Securities and Exchange Board of India (Sebi) conducted a thematic inspection of the stock broker for the period January-September 2024, focusing on unauthorised trading complaints and client order placement.
The market watchdog found that SMC Global Securities had not maintained appropriate pre-order placement records for certain clients and could not provide relevant records for multiple orders, Sebi said in an order passed on Thursday (October 1, 2026)
Sebi also found deficiencies in the broker's supervision of authorised person Amit Lilhare, including failure to adequately monitor bank accounts receiving commissions and verify payout requests from clients.
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