Why Jane Street, a US trading giant, is in trouble in India

New York based trading giant Jane Street has been in the eye of a storm over the past few weeks after India’s market regulator banned it from the securities market.

The regulator Securities and Exchange Board of India (Sebi) has accused Jane Street of indulging in a “sinister scheme”, alleging that its “manipulation” of India’s stock market has led to small investors trading at “unfavourable and misleading prices”.

Jane Street has not responded to the BBC’s request for comment, but according to the Financial Times, the firm has told staff in an internal email that it was “beyond disappointed” by Sebi’s order and planned to challenge it.

So what is Jane Street, and what are they accused of?

Jane Street was founded by a small group of traders and technologists in a tiny New York office. It is…