Markets watchdog Sebi today barred Operator Tips Global and Saanjh Advisory and their proprietor Mrinal Chadha from acting as investment advisers after finding them guilty of providing unauthorised services to investors.
The regulator found that these entities were giving trading tips, stock specific recommendations among others to investors on payment of fees without registering with Sebi in any capacity, neither as an investment advisor or research analyst or portfolio manager nor as a broker or a sub-broker affiliated to any brokers.
"I, therefore, find that the said entities are engaged in unregistered investment advisory activities contravening the provisions of...Investment Advisers Regulation," Sebi Whole Time Member S Raman said in an order.
Accordingly, Sebi has directed these entities to 'cease and desist' from acting as an investment advisor or any other unregistered activities in the securities market. Also, they have been barred from diverting any funds raised from investors.
They have also been asked to "immediately withdraw and remove all advertisements, representations, literatures, brochures, materials, publications, documents, website etc in relation to his investment advisory and research analyst activity or any unregistered activity in the securities market."
The Securities and Exchange Board of India (Sebi) said these directions would take effect immediately and would be in force until further orders.
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