Joint Press Release on Caution to Investors
It has been brought to the notice of the Exchanges that some unscrupulous persons/ entities operating through Indian and International mobile numbers, through social media platforms like WhatsApp Groups, Telegram Channels, Facebook, Instagram Channels, etc. are falsely claiming to be associated with reputed financial institutions, showcasing fake certificates purportedly issued by SEBI/ Exchanges.
The activities of such persons/ entities may include:
– Claims of being associated with organisations/individuals of repute,
– Providing unregulated trading platforms and unauthorized trading applications which resembles or impersonate Applications/Websites of registered trading members,
– Luring to join/create “Institutional account” to get guaranteed/high returns,
– Offering assured/guaranteed returns on Investment in Capital/Forex/Commodities market,
– Offering to handle trading account of investors by asking investors to share their login credentials (including passwords),
– Claiming to facilitate pre-IPO subscriptions with false promises of assured profits,
Offering dabba/ illegal trading services.
Investors are cautioned and advised NOT to deal with such persons/ entities in any manner including participation on their illegal platforms. Such participation is at investor’s own risk, cost and consequences as such illegal trading platforms are neither approved nor endorsed by the SEBI/Exchanges.
The investors are also cautioned and advised not to subscribe to any such scheme/ product offered by any person offering indicative/ assured/ guaranteed returns in the stock market as the same is prohibited by law. Further, investors are advised not to share their trading credentials such as user id/password or any other sensitive information with anyone. It is imperative for investors to understand that investments offering high returns usually involve high risk including fraud risk and there can be no guarantees of assured returns in the securities market.
Investors are urged to observe utmost caution, conduct due diligence, and verify the registration status of any entity claiming to be a SEBI/NSE/BSE/MCX/MSE/NCDEX registered intermediary. It may also be noted that Exchanges have provided a facility on their website as given below, to check the details of the registered members and its Authorised Persons. Further, the designated bank accounts named as client bank accounts to receive/pay money from/to investors as disclosed by the trading members to Exchanges are also displayed under the said link. Investors are advised to check the details while dealing with any entity.
- NSE – “Know/ Locate your Stock Broker” option under the link “https://www.nseindia.com/invest/find-a-stock-broker”
- BSE – “Member and Authorised Person’s details “ option under the link “https://www.bseindia.com/members/MembershipDirectory.aspx”
- MCX – “Member and Authorised Person’s Details” option under the link “https://www.mcxindia.com/membership/notice-board/Member-AP-Details”
- NCDEX – Member Directory option under the link “https://ncdex.com/member_directory” and Authorised Person’s Directory option under the link “https://ncdex.com/authorised_person”
- MSEI – “Know/Locate Your Stock Broker” option under the link “https://membershipauth.msei.in/Authorizedperson/sitepages/MemberDetails.aspx”
The investors may note that for any kind of disputes relating to such prohibited schemes none of the following recourses will be available to investors:
Benefits of investor protection under Exchange’s Jurisdiction
Exchange dispute resolution mechanism
Investor grievance redressal mechanism administered by Exchange.
