The Securities and Exchange Board of India (SEBI) has imposed a penalty of ₹10 lakh on Axis Securities Limited for violating stock broker regulations and other regulatory norms. In an 82-page order, SEBI directed the brokerage firm to pay the fine within 45 days, citing multiple compliance failures. The violations include reporting discrepancies, improper handling of client funds, and failure to settle client accounts as per regulatory guidelines. SEBI flags reporting discrepancies SEBI found inconsistencies in Axis Securities’ enhanced supervision and stock statements, which did not match actual holdings in depository accounts. Additionally, the firm failed to settle client funds and securities according to client preferences and did not provide proper retention statements with account details. The regulator also noted that Axis Securities passed on penalties imposed by stock exchanges for margin shortfalls to its clients and transferred securities of clients with credit balances to client unpaid securities accounts. Furthermore, customer complaints were not adequately addressed. Following an inspection covering the period from April 2021 to November 2022, SEBI issued the fine due to these multiple violations, reinforcing its commitment to maintaining market integrity.