Sebi bans Money Plus, proprietor from carrying out investment advisory services

By: |
August 17, 2020 6:08 PM

After receiving complaints, the Securities and Exchange Board of India (Sebi) carried out a preliminary examination to ascertain whether unregistered investment advisory activities are being carried out by the firm.

Also, they have prohibited from diverting any funds raised from investors.Also, they have prohibited from diverting any funds raised from investors.

Markets regulator Sebi has barred Money Plus Research Advisory and Financial Services and its proprietor Pravin Meshram from acting as investment advisors, for providing unauthorised trading tips to investors.

Besides, they have been restrained from accessing the securities market until further orders.

After receiving complaints, the Securities and Exchange Board of India (Sebi) carried out a preliminary examination to ascertain whether unregistered investment advisory activities are being carried out by the firm.

In its interim order, Sebi said Money Plus is soliciting and inducing the investors to deal in the securities market on the basis of investment advice, stock tips, etc., prima facie, without having the requisite registration as mandated under the investment advisor (IA) regulations.

The amount of money, prima facie, observed to have been collected by Money Plus and its proprietor Pravin Meshram was Rs 53.85 lakh.

Accordingly, the regulator has directed Money Plus and Meshram to “cease and desist from acting as an investment advisor including the activity of acting and representing through any media (physical or digital) as an investment advisor, directly or indirectly”.

Also, they have prohibited from diverting any funds raised from investors.

Further, they have been barred from disposing of any assets, whether movable or immovable, including money lying in bank accounts except with the prior permission of Sebi.

In addition, Sebi has asked them to immediately withdraw and remove all advertisements, brochures, publications, and documents, among others, (physical or digital) in relation to their investment advisory activity.

This directions will come into force with an immediate effect and will be in force until further orders, Sebi said in a interim order passed on Friday.

Get live Stock Prices from BSE, NSE, US Market and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Financial Express is now on Telegram. Click here to join our channel and stay updated with the latest Biz news and updates.

Next Stories
1Angel Broking’s Rs 600-crore IPO opens next week; check issue price, bid size, details
2Wipro, Mphasis, Mindtree shares hit new 52-week highs; IT stocks rally, Nifty IT index up 1%
3Time to invest in low-debt firms in these sectors; and what to expect from CAMS, Chemcon IPOs | IIFL Interview