<h1>SEBI bans US trading firm for stock index manipulation through derivatives, orders Rs 4,843 crore disgorgement</h1> The Securities and Exchange Board of India banned a US-based trading firm and its affiliated entities from the securities market for allegedly manipulating stock indices through derivatives trading. The regulator ordered disgorgement of illegal gains totaling Rs 4,843 crore, potentially the highest such amount ever directed. The investigation revealed the group executed large trades in cash and futures markets over 21 expiry days between January 2023 and May 2025 to influence index movements and profit from options positions. The firm continued suspicious trading activities despite warnings, prompting the interim ban and account freezing orders.