Markets regulator Sebi today imposed a penalty of Rs 26 lakh on one Ankit kumar S Singhania for providing unauthorised investment advisory services to investors.
The fine has been levied on Singhania for defying Sebi's directive by continuing unregistered investment advisory services under its new venture, Bear and Bulls.
Sebi, in December 2015, had directed Singhania to cease and desist from acting as investment adviser or carrying out any other unregistered activity.
A probe by Sebi found that Singhania Media Solutions Pvt. Ltd (SMSPL) was offering various financial products/services in the nature of investment advisory/research analysis to its clients through its website -- www.Bearandbulls.Com.
Besides, the regulator observed that neither SMSPL nor 'Bear and Bulls' were registered with it as investment advisers.
Bear and Bulls had 73 investors as its clients from whom, it had collected over Rs 8.77 lakh as fees towards its investment advisory services, the Securities and Exchange Board of India (Sebi) noted.
"I am of the considered view that the noticee (Singhania) through 'Bear and Bulls' ran an unregistered investment advisory indirectly and thereby acted in violation of the direction issued under Sebi order ... December 30, 2015," Sebi General Manager and Adjudicating Officer Rachna Anand said.
Acoordingly, the regulator has slapped a fine of Rs 26 lakh on Singhania.
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