Concerned over a spurt in investment scams perpetrated through SMSes, WhatsApp and social media, Securities and Exchange Board of India (Sebi) has beefed up its surveillance on such platforms. It is seeking greater co-operation from mobile and internet service providers, as well as banks, so that no genuine investor is taken for a ride.
Sebi informed that the modus operandi revealed by this enhanced vigil typically includes tax evasion through bogus gains or losses through stock market platform and certain Indian and overseas entities engaging in fraudulent activities. This vigil has also unearthed a large number of cases where unregistered entities are indulging in fraudulent act of luring investors to securities market through false and unrealistic SMS claims.
The Sebi has also enhanced its investor awareness campaign by cautioning them against trading on the basis of unsolicited tips on SMSes, social media, websites and other public media platforms.