Axis Mutual Fund (MF) has reportedly made personnel changes in seven of its funds, amid allegations of violations against certain officials of the fund house.
The management change has been done in Axis Consumption ETF, Axis Banking ETF, Axis NIFTY ETF, Axis Arbitrage Fund, Axis Quant Fund, Axis Technology ETF and Axis Value Fund.
According to reports, Viresh Joshi, who was the head trader for Axis Mutual Fund, as well as a fund manager to five of its schemes and Assistant Fund Manager Deepak Agrawal will no longer be part of any of Axis Mutual Fund’s schemes. Agarwal reportedly managed Axis Consumption ETF, Axis Quant Fund and Axis Value Fund, as per data available with Value Research, a mutual fund tracking firm.
However, the bank is yet to release an official statement on the matter.
Market regulator SEBI is conducting a probe the matter of ‘front running’ or ‘forward trading’ which is a prohibited practice. The transaction done by the two executives over the past 4-5 years along with the transactions done by other team members are under scanner.