Latest news with #ManishMishra
Time of India
2 days ago
- Business
- Time of India
Pump & dump: Sebi bans actor Warsi, wife
Photo/Agencies MUMBAI: Sebi on Friday banned 59 entities, including actor Arshad Warsi , his wife Maria Goretti, from the market for up to 5 years. The move is related to misleading videos on YouTube channels - like Moneywise, The Advisor and Profit Yatra - luring investors to buy TV channel Sadhna Broadcast's shares. The markets regulator fined the couple Rs 10 lakh, and they will have to disgorge illegal gains worth Rs 92 lakh from the stock price manipulation. Warsi and his wife Goretti played a role in promoting the stock of Sadhna (now Crystal Business System) through videos on YouTube, which were uploaded by one of the masterminds of the scheme. In its 109-page order, Sebi whole-time member Ashwani Bhatia stated that the way the whole incident played out painted "a disturbing picture regarding the increasing use of social media platforms, which have immense reach and influence in the digital age, as tools for market manipulation". Sebi ordered disgorgement of illegal gains totalling about Rs 58 crore and imposed fines of up to Rs 5 crore on the entities. The overall conduct of the people involved in the scheme revealed a classic pump-and-dump scheme, the report said. "The price was systematically pushed upward through collusive trading, followed by aggressive promotional activity to draw in retail investors, and finally, a coordinated sell-off by the promoters. by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Giao dịch CFD với công nghệ và tốc độ tốt hơn IC Markets Đăng ký Undo Retail investors, misled by this staged market activity, were left holding the shares at distorted valuations once the manipulators, including the promoters, exited," the report said. Sebi found that three individuals, Gaurav Gupta, Rakesh Kumar Gupta, and Manish Mishra, were the masterminds. Subhash Aggarwal, a director with Skyline Financial Services, the registrar & transfer agent of Sadhna Broadcast, was the middleman. These individuals "were the central characters who planned and executed the manipulative scheme", Sebi said. Modus Operandi: First, the entities executed trades among themselves to steadily inflate the price of the scrip and create a false appearance of market interest. Second, misleading promotional videos were disseminated across YouTube channels operated by Manish Mishra. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
Gulf Today
3 days ago
- Business
- Gulf Today
SEBI bans Bollywood star Arshad Warsi, wife, 57 others from securities markets for up to 5 years
Markets regulator the Securities and Exchange Board of India (SEBI) on Thursday barred Bollywood actor Arshad Warsi, his wife Maria Goretti, and 57 others from the securities markets for periods ranging from 1-5 years. The regulator imposed a fine of Rs 5 lakh each on Warsi and his wife, Maria. The decision came in a case related to misleading videos on YouTube channels recommending investors to buy shares of Sadhana Broadcast. SEBI found that Arshad Warsi had made a profit of Rs41.70 lakh and his wife earned a profit of Rs50.35 lakh. "It is noted that Arshad Hussain Warsi in his statement recorded before SEBI on June 27, 2023, stated that apart from placing trades in his own account, he was also trading from the accounts of his wife (Noticee 61) and brother (Noticee 62). It is further noted from the submissions of Noticee 60 that Aahuti Mistry acted as the manager of Arshad Warsi,' according to the SEBI order. SEBI also levied penalties in the range of Rs 5 lakh to Rs 5 crore on 57 other entities, including promoters of Sadhana Broadcast (now Crystal Business System Ltd). Apart from the debarment, SEBI also directed these entities to disgorge total unlawful gains of Rs 58.01 crore along with 12% interest per annum from the end of the investigation period till the date of actual payment. The capital markets regulator said the masterminds behind this whole operation were Gaurav Gupta, Rakesh Kumar Gupta and Manish Mishra. Subhash Aggarwal, who also happened to be a director of the RTA of Sadhana Broadcast Ltd, acted as the go-between Manish Mishra and the promoters, the order stated. SEBI received complaints, alleging that there was price manipulation and subsequent offloading of shares in the scrip of SBL. It was also stated in the complaints that YouTube videos were being uploaded with false content to lure investors and a paid marketing campaign worth crores was undertaken to make the videos reach a wider audience. The complainant also provided links to YouTube videos, names of YouTube channels and dates when the videos were uploaded. SEBI examined the complaints and prima facie found that net sellers in the shares of SBL were connected to the creator of YouTube channels, wherein videos with false content and unrealistic target price for the scrip were uploaded with the intention to influence and induce public investors to invest in the scrip. "Search and seizure operations were conducted at the premises of 15 Noticees wherein various documentary and electronic evidences were gathered and statements of various Noticees were recorded on oath," according to the markets regulator. Indo-Asian News Service
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Business Standard
3 days ago
- Business
- Business Standard
Why has Sebi barred Arshad Warsi from the securities market for a year?
The Securities and Exchange Board of India (Sebi) on Thursday barred Bollywood actor Arshad Warsi, his wife Maria Goretti, and 57 other entities from the securities market for periods ranging from one to five years. The crackdown follows an investigation into misleading YouTube videos that recommended investing in shares of Sadhna Broadcast Ltd (now Crystal Business System Ltd). According to a Sebi order issued, both Warsi and Goretti were fined ₹5 lakh each and prohibited from participating in the securities market for one year, news agency PTI reported. Earlier in March 2023, Sebi took action against Warsi, his wife, and several others in a related case involving misleading YouTube videos promoting shares of Sadhna Broadcast Ltd. In the order, Sebi had directed the impounding of illegal gains amounting to ₹41.85 crore accrued by the entities involved in the pump-and-dump scheme. It also ordered all 31 individuals to open an escrow account with a scheduled commercial bank and deposit the impounded amount within 15 days. Hefty penalties and disgorgement orders On Thursday (May 29), Sebi imposed penalties ranging from ₹5 lakh to ₹5 crore on the 57 other individuals and entities involved, including key promoters of Sadhna Broadcast. The order also directed all 59 entities to jointly and severally disgorge illegal gains amounting to ₹58.01 crore, along with 12 per cent interest per annum, from the end of the investigation period until the payment is made. Sebi's findings revealed that Warsi and his wife earned illicit profits of ₹41.70 lakh, and ₹50.35 lakh, respectively. Who are the masterminds behind the scheme? In its detailed 109-page order, Sebi identified Gaurav Gupta, Rakesh Kumar Gupta, and Manish Mishra as the masterminds of the scheme. Subhash Aggarwal, who served as a director at the registrar and transfer agent of Sadhna Broadcast, acted as a liaison between Mishra and the company's promoters. 'These individuals were the central characters who planned and executed the manipulative scheme,' the regulator said. How the scam was orchestrated According to Sebi, Peeyush Agarwal, a dealer at Choice, and Lokesh Shah, owner of the Delhi franchise of a stockbroker, facilitated accounts for Manish Mishra and the promoters of Sadhna Broadcast to execute trades that manipulated the stock price. Jatin Shah also played a significant role in operationalising the scheme, while other participants either enabled the manipulative activities or sought quick profits, the order said. Sebi noted that although some entities did not trade from their own accounts, they acted as information carriers or assisted in placing manipulative trades. Two-phase pump-and-dump scheme The regulator outlined a two-phase plan to manipulate the stock price: Phase 1: Connected and promoter-linked entities traded among themselves to steadily inflate the price of Sadhna Broadcast shares. Despite small trade volumes, the low liquidity of the scrip allowed these trades to disproportionately influence the price, creating an illusion of investor interest. Phase 2: Misleading and promotional videos were published on YouTube channels such as Moneywise, The Advisor, and Profit Yatra — all operated by Manish Mishra — to lure retail investors. These videos coincided with the artificial price surge and recommended SBL as a promising investment opportunity. Additional actions and ongoing proceedings Sebi clarified that Varun Media Pvt Ltd — a promoter entity — would not be fined due to ongoing insolvency proceedings, but the direction for disgorgement remains in place. The regulatory action follows complaints received between July and September 2022, alleging price manipulation and offloading of shares in Sadhna Broadcast. Investors flagged misleading YouTube videos that falsely promoted the company to lure unsuspecting buyers. Sebi subsequently launched a detailed investigation into trading activities in SBL's shares between March 8, 2022, and November 30, 2022. The regulator had already issued an interim order on March 2, 2023, against 31 entities, including promoters of SBL.
Hindustan Times
3 days ago
- Business
- Hindustan Times
Why actor Arshad Warsi, his wife have been barred from trading in securities market
The Securities and Exchange Board of India (SEBI) has banned Bollywood actor Arshad Warsi, his wife Maria Goretti, and 57 others from trading in the securities markets for up to five years, reported news agency PTI. The ban comes after an investigation revealed their involvement in a scheme to manipulate the stock prices of Sadhna Broadcast, now known as Crystal Business System Ltd. Actor Arshad Warsi and his wife were fined ₹5 lakh each and banned from the securities market for one year. SEBI said Arshad made a profit of ₹41.70 lakh and Maria earned ₹50.35 lakh through these trades. The market regulator also fined the other 57 entities between ₹5 lakh and ₹5 crore each. The group has been asked to return ₹58.01 crore in illegal profits, along with 12% interest per year from the end of the investigation period until full payment is made. According to SEBI's final order issued on Thursday, misleading videos were posted on YouTube channels urging people to invest in Sadhna Broadcast. These videos made the stock look promising, creating artificial demand and pushing its price. SEBI described the scheme as a typical "pump-and-dump." In this strategy, prices are pushed up using false information. Once the prices rise, the manipulators sell their shares for a profit, leaving regular investors with losses. 'The price was systematically pushed upward through collusive trading, followed by aggressive promotional activity to draw in retail investors, and finally, a coordinated sell-off by the promoters,' said Ashwani Bhatia, SEBI's whole-time member, reported PTI. The investigation identified Gaurav Gupta, Rakesh Kumar Gupta, and Manish Mishra as the main planners of the operation. SEBI said that Subhash Aggarwal, a director of Sadhna Broadcast's registrar and transfer agent (RTA), acted as the link between Mishra and the company promoters. Manish Mishra also ran YouTube channels such as Moneywise, The Advisor, and Profit Yatra. These were used to spread promotional videos in the second phase of the scheme. SEBI also found that Peeyush Agarwal, a dealer at Choice, and Lokesh Shah, who ran a Delhi-based brokerage franchise, played key roles in helping carry out the plan. Jatin Shah was also named for executing the scheme. Some entities did not trade using their own accounts but helped pass on information or place trades to aid the fraud. Connected entities first traded among themselves to slowly raise the stock price. Because the stock had low trading volumes, even small trades made a big difference in price. In the second phase, the misleading videos were released to lure investors. The scam came to light after the regulating body received complaints between July and September 2022 about unusual stock price movements and misleading online content promoting the company. Sebi then launched a detailed investigation covering the period from March 8, 2022, to November 30, 2022. An earlier interim order was issued in March 2023 against 31 of the entities. One promoter company, Varun Media Pvt Ltd, has not been fined due to ongoing insolvency proceedings, but it is still required to return its share of the illegal profits. Sebi said further decisions in this case will be made separately. The 109-page Sebi order concluded that all 59 entities broke rules meant to stop fraud and unfair practices in the market. (With PTI inputs)
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First Post
3 days ago
- Business
- First Post
Sadhna Broadcast: Here's why Sebi bans actor Arshad Warsi, wife Maria Goretti & 57 others from markets for up to 5 yrs
The regulator imposed a fine of ₹5 lakh each on Warsi and his wife Maria. The couple were restrained by the markets watchdog from the securities market for 1 year, as per an order passed by Sebi on Thursday. read more Markets regulator Sebi has barred Bollywood actor Arshad Warsi, his wife Maria Goretti, and 57 other entities from the securities markets for 1-5 years in a case related to misleading videos on YouTube channels recommending investors to buy shares of Sadhna Broadcast. The regulator imposed a fine of ₹5 lakh each on Warsi and his wife Maria. The couple were restrained by the markets watchdog from the securities market for 1 year, as per an order passed by Sebi on Thursday. STORY CONTINUES BELOW THIS AD Sebi has also levied penalties of ₹5 lakh to ₹5 crore on 57 other entities, including promoters of Sadhna Broadcast (now Crystal Business System Ltd). Apart from the debarment, Sebi directed these 59 entities to disgorge total unlawful gains worth ₹58.01 crore along with 12 per cent interest per annum jointly and severally from the end of the investigation period till the date of actual payment. Sebi noted that Arshad had made a profit of ₹41.70 lakh and his wife earned a profit of ₹50.35 lakh. In the final order, Sebi found that the masterminds behind this whole operation were Gaurav Gupta, Rakesh Kumar Gupta and Manish Mishra. Subhash Aggarwal, who also happened to be a director of the RTA of Sadhna Broadcast Ltd (SBL), acted as the go between Manish Mishra and the promoters, the order stated. These individuals were the central characters who planned and executed the manipulative scheme, Sebi said. Further, the regulator observed that Peeyush Agarwal and Lokesh Shah facilitated accounts controlled by them to be used for the manipulative designs of Manish Mishra and the promoters of SBL. The former was a dealer at Choice and the latter the owner of the Delhi franchise of the stockbroker. They were both vital cogs who facilitated large scale manipulation in the scrip. Similarly, Jatin Shah played a leading role in operationalising the scheme, while other entities facilitated the manipulative designs or were in it to make a quick buck, the order said. STORY CONTINUES BELOW THIS AD As per the 109-page order, Sebi said the noticees (entities) have acted as information carriers or assisted in placing the manipulative trades, but not traded in the scrip from their own accounts. Sebi said the structured scheme executed in two coordinated phases. In the first phase, connected and promoter-linked entities executed trades among themselves to steadily inflate the price of the scrip and create a false appearance of market interest. These trades though often small in volume had a disproportionate impact on price due to low liquidity, allowing the perpetrators to push the scrip upward with relatively minimal trading outlay. In the second phase of the scheme, misleading and promotional videos were disseminated across YouTube channels such as Moneywise, The Advisor, and Profit Yatra, all operated by Manish Mishra, the order said. These videos presented SBL as a promising investment opportunity and were timed to coincide with and amplify artificial market activity, it added. 'The overall conduct of the noticees has revealed a classic pump-and-dump scheme. The price was systematically pushed upward through collusive trading, followed by aggressive promotional activity to draw in retail investors, and finally, a coordinated sell-off by the promoters,' Sebi's whole time member Ashwani Bhatia said in the order. STORY CONTINUES BELOW THIS AD Accordingly, these 59 entities violated the provisions of PFUTP (Prohibition of Fraudulent and Unfair Trade Practices) rules. In addition, Sebi said that no monetary penalty is being imposed on Varun Media Pvt Ltd, a promoter entity, due to pending insolvency proceedings. However, the direction for disgorgement will remain applicable and proceedings against the company will be decided through a separate order. The order came after the Securities and Exchange Board of India (Sebi) received complaints during the period July-September 2022, alleging that there was price manipulation and subsequent offloading of shares in the scrip of television channel SBL. The complaints alleged that misleading YouTube videos with false content about the company were uploaded to lure investors. Thereafter, Sebi conducted a detailed investigation into the alleged manipulation in the scrip of SBL for the period March 8, 2022 to November 30, 2022. Sebi said that an interim order was passed by the regulator in March 2, 2023 against 31 entities, including promoters of SBL. STORY CONTINUES BELOW THIS AD
