The fund house, which manages assets of over Rs 2.59 lakh crore, said it has strong reason to believe that the two terminated fund managers, Viresh Joshi and Deepak Agrawal, may have breached the securities law.
Axis Asset Management Company, the mutual fund promoted by Axis Bank, on July 5 said it has completed the probe on two terminated fund managers and has submitted the report to the Securities and Exchange Board of India (SEBI).
The fund house said that based on available evidence, it has strong reasons to believe that Viresh Joshi and Deepak Agrawal may have breached securities law.
Axis AMC has been conducting a suo moto investigation since February 2022, with assistance from reputed external advisors.
Further, it said that Joshi has committed clear breaches of its policies, including non-cooperation with the internal investigation (during his suspension period).
“Based on the findings so far, we believe that the conduct of concerned individuals identified do not have any impact on our liquidity or our operations. Any misconduct by the individuals concerned was outside of and in contravention of our policies and procedures and the training they had received,” the Axis AMC said.
Also, the fund house said it has followed the required regulatory and compliance guidelines at all points in time and will continue to do so. “As a fund house, we will always continue to work in the interest of our investors/stakeholders, whose trust is of paramount importance to us,” it said.
