Sebi initiates proceedings against entities in ponzi schemes

With the restoration of additional powers to take on fraudsters and market manipulators, the Securities and Exchange Board of India (Sebi) has initiated proceedings against entities suspected of ponzi-related schemes in West Bengal and other parts of the country.

Steps are being taken to attach bank accounts and other property and recover penalties and ill-gotten wealth cornered from gullible investors, while the regulator is also finalising search and seizure operations in certain cases to bolster its investigations, an official said.

The cases include unauthorised money pooling activities in West Bengal, Assam, other eastern and north-eastern states and some other parts of the country, he added.