DETERMINING THE STANDARD OF PROOF FOR FRAUD UNDER INDIAN SECURITIES LAW
Keywords:
Fraud, securities industries, securities law, standard of proof, businessAbstract
Fraud is considered as one of the serious charges in the securities industry. If proved, the consequences involve a complete shutdown in the business and distrust among the various market participants involved, which is not only adversarial for them but for the whole market. In addition, a little media attention is enough to embarrass the entity against whom the fraud has been alleged. Therefore, it is not reasonable to impose such serious allegations on the basis of ordinary standard of proof used in other civil cases. In this light, this article examines the current standard of proof for securities law fraud in India and analyzes it to bring it in line with the current established practices.
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