Post-listing oversight needed
Besides, the regulator’s recent actions suggest that enforcement has often followed damage rather than prevented it. In May 2025, Sebi passed a strongly worded interim order against Synoptics Technologies Ltd, alleging that the SME diverted IPO proceeds to fictitious entities and used part of the funds to artificially inflate its share price on listing day. In a first-of-its-kind move, it also barred the merchant banker involved from taking on new IPO assignments, saying its actions posed “a serious risk to investors”.
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