Have you actually looked into the allegations and the response from Jane Street? By your logic companies can commit any fraud in India because if they get caught you can just say: hey cant trust the country.
I have! JS was engaged in standard arbitrage and did nothing wrong. SEBI is coming after them because JS being able to do what it was doing is deeply embarrassing.
I think you tried to narrow down my general statement. What I'm saying is: not all countries and their regulatory bodies are equal. India is a pretty top-down country with quite a protectionist policy.