Avadhut Sathe Trading Academy approaches SAT against Sebi order

In an order issued on December 4, the market regulator alleged that ASTA was running unregistered investment advisory and research analyst services in the name of stock market education

Avadhut Sathe Trading Academy (ASTA) has approached the Securities Appellate Tribunal (SAT) against an order by the Securities and Exchange Board of India (Sebi), in which the regulator had directed disgorgement of ~601 crore and imposed a ban on founder Avadhut Sathe from the securities market. 

 

In an order issued on December 4, the market regulator had alleged that ASTA was running unregistered investment advisory and research analyst services in the name of stock market education.

 

The matter is listed in SAT for admission on Friday, according to the cause list of the tribunal.

 

Following the Sebi order, the outfit had denied allegations claiming that it operates solely as an educational and training institution, and had shown intention to challenge the Sebi order.

 

In the ex parte interim order-cum-show cause notice, passed by whole-time member Kamlesh Varshney, Sebi had directed the academy and Sathe to cease and desist from offering any unregistered advisory or research services and from using live market data in their programmes.

 

Sebi alleged that stock tips, live trading calls, and unrealistic return claims were sold as ‘education’ by the trading academy.

 

The interim order added that despite receiving an administrative warning in March 2024 over selective showcasing of profitable trades and misrepresentation, the entities continued to publish “misleading videos”, exaggerated testimonials and social media content promising extraordinary returns, while many participants allegedly incurred substantial losses.