New Delhi, Jan 12 (PTI) Markets regulator Sebi today asked Operator Tips Global, Saanjh Advisory and their proprietor Mrinal Chadha to return the money received from clients as fees in respect of their unregistered investment advisory activities.
Besides, Sebi has barred them from the markets for at least four years. Also, Chadha has been restrained from associating with any listed firm for the same duration.
The regulator found that Chadha was giving trading tips and recommendations to investors on payment of fees without registering with Sebi in any capacity.
“I find that Chadha, Operator Tips and Saanjh Advisory were carrying out activities of investment adviser and being unregistered while acting as such, they violated… Investment Adviser Regulations,” Sebi Whole Time Member Madhabi Puri Buch said in an order.
Accordingly, the money collected for investment advisory services is liable to returned to the clients/investors, the order noted.
Chadha has collected over Rs 23 lakh from clients from August 2015 to June 2016.
“Chadha, Operator Tips Global and Saanjh Advisory shall refund the money received from its clients as fees in respect of its unregistered investment advisory activities and submit a certificate from a peer reviewed Chartered Accountant…
within a period of three months,” the regulator noted.
These entities have been prohibited from accessing the securities market “till the expiry of four years from the date of refund of the money”.
Further, Chadha has been restrained from “associating with any listed public company and any public company which intends to raise money from the public, or any intermediary registered with Sebi till the expiry of four years from the date of refund of the money”.
The three entities “shall not undertake, either directly or indirectly, investment advisory services or any activity in the securities market without obtaining a certificate of registration from Sebi…after the expiry of period of debarment”.
This is published unedited from the PTI feed.