Max Financial Services was cleared after Sebi dropped proceedings alleging disclosure lapses and a fraudulent scheme in its Max Life Insurance share transactions with Axis Bank from FY10 to FY22. Sebi said allegations that Max Financial Services devised a scheme causing Rs 3,912 crore loss to itself to benefit Axis Group entities, and made inadequate disclosures on 2010, 2015 and 2020 arrangements, were not established under laws applicable at the time.

Max Financial Services Limited is in talks with Axis Bank Limited for Axis Bank Limited to raise its stake in their joint venture Axis Max Life Insurance Limited and for a potential reverse merger of Axis Max Life Insurance Limited with Max Financial Services Limited. Axis Max Life Insurance Limited MD & CEO Sumit Madan said recent regulatory changes have enabled such structures, stakeholder consultations are underway, clarity is expected by October, and the NCLT process typically takes six to 12 months.