Quant Mutual Fund CFO Resigns Amid SEBI Front-running Probe, Shashi Kataria To Succeed

Harshal Patel, the Chief Financial Officer (CFO) of Quant Mutual Fund – currently under the scrutiny of the Securities and Exchange Board of India (SEBI) for possible front-running – has resigned from his position. In a notice-cum-addendum, the company informed the investors about Mr Patel's resignation from Quant Mutual Fund and the appointment of Shashi Kataria as the new CFO, effective July 1, 2024. Mr Patel cited personal reasons for his resignation.

Meanwhile, Mr Kataria brings with him a rich and diverse professional journey. “Shashi has 20 years total experience in Accounting, Audit, Direct & Indirect Taxation, Financials & MIS, Payroll and Labour Law Compliance out of which 13 years are from the Indian Mutual Fund industry. His last assignment was with PPFAS Asset Management Private Limited as CFO, COO & Director,” Quant Mutual Fund said.

Before PPFAS Asset Management Private Limited, he held a key position as Manager of Finance at DSP Blackrock Investment Managers Private Limited, the company added.

All terms and conditions outlined in the SID, KIM and SAI of the schemes, along with any relevant addendums, remain unchanged, the company said. This notice-cum-addendum is an integral part of the SID, KIM, and SAI issued for the schemes, including all addenda issued thereafter.

In his career, Mr Kataria has also undertaken noteworthy assignments with organisations such as Cargotec India Private Limited, Redbull India Private Limited, UTV Software Limited, UCB Pharmaceuticals Limited, and Cravatex Limited, among others, while he was associated with Ganesh Jagadeesh & Co. Chartered Accountants. 

A commerce graduate from Mumbai University and a fellow member of the Institute of Chartered Accountants of India (ICAI), Mr Kataria loves listening to old Hindi songs, watching cricket, lawn tennis and reading books.

The SEBI conducted a probe into alleged front-running activities involving Quant Mutual Fund, which manages assets worth ₹93,000 crore. According to reports, during raids on Quant's offices in Mumbai and Hyderabad, SEBI confiscated mobile phones, computers and other digital devices to trace the origins of leaked confidential information suspected to have been used for illegal financial gains. 

The reports added that SEBI suspects the front-running activities may have been facilitated by a dealer within a Quant entity or a brokerage firm through which the asset management company executes its orders.