Securities and Exchange Board of India (SEBI) has stopped Money Plus Research Advisory and Financial Services and Mr Pravin Meshram the proprietor of Money Control to act as the investment advisors because of the allegations that unauthorised trading tips to investors were provided by them. Also, SEBI has restricted them to access the securities market until any further orders.
SEBI carried out a preliminary examination after many complaints were received to ascertain whether unregistered investment advisory activities were being carried out by the firm.
Securities and Exchange Board of India has said in its interim orders that, Money Plus is soliciting and inducing the investors to deal in the securities market based on the investment advice, stock tips, etc., prima facie, without having the requisite registration as mandated under the investment advisor (IA) regulations.
Around Rs.53.85 lakhs money is observed to be collected by Money Plus and its proprietor Pravin Meshram.
SEBI ordered Meshram and Money Plus that “cease and desist from acting as an investment advisor including the activity of acting and representing through any media (physical or digital) as an investment advisor, directly or indirectly”. And also they are prohibited to divert any funds raised from the investors.
Sebi has barred them from disposing of any assets, whether movable or immovable, including money lying in bank accounts with any permission from the market regulator.
The market regulator has also asked them to immediately withdraw and remove all advertisements, brochures, publications, and documents, among others, (physical or digital) concerning their investment advisory activity.
According to SEBI’s interim order, all the above-mentioned orders will come into force with an immediate effect and will be in force until further orders.
With Warm Regards,