Sebi cracks whip on finfluencer, orders to confiscate Rs 12 cr ‘illegal profits’
Further, these entities have been directed to “cease and desist from offering investment advisory services and not to act as or impersonate investment advisors.”
Sebi has debarred Ravindra Bharti Education Institute, co-founded by finfluencer and YouTuber Ravindra Balu Bharti, from the securities market and directed it to deposit Rs 12 crore “unlawful profits” earned from the alleged unregistered investment advisory firm.
The amount has been ordered to be deposited into an interest-bearing escrow account created specifically for this purpose in a nationalized bank.
Moreover, the regulator has barred Ravindra Balu Bharti, his wife Shubhangi Ravindra Bharti and directors – Rahul Ananta Gosavi and Dhanashri Chandrakant Gosavi – from the securities market. These persons are also prohibited from associating with any intermediary registered with Sebi in any capacity.
Ravindra Bharti Educational Institute Pvt. Ltd. (RBEIPL) was founded in 2016 by Ravindra Balu Bharti and his wife. The company claims to be mainly involved in providing training or education related to trading activities in the stock market.
In its interim order on Friday, the regulator noted that Ravindra Bharti Education Institute was involved in providing advice relating to investing in, buying, selling or otherwise dealing with uncertainties or investment products in lieu of consideration. Investors were enticed to use the advisory services by predicting returns of between 25 and 1,000 percent.
It further noted that Ravindra Bharti Education Institute was providing investment advisory services without obtaining registration from Sebi in violation of regulatory norms.
“An amount of Rs 12,03,82,130.91, being the total unlawful profits earned from the alleged unregistered investment advisory company, shall be seized from Noticee No. 1 (Ravindra Bharti Education Institute),” Sebi said.
Further, these entities have been directed to “cease and desist from offering investment advisory services and not to act as or impersonate investment advisors.”
In October 2023, Sebi cracked down on unauthorized investment advisory services offered in the name of ‘Baap of Chart’, debarred three entities from the securities market and ordered seizure of illegal profits worth over Rs 17 crore.
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First print: April 8, 2024 | 4:05 PM IST