HomeNews"The viewers of the show trust the recommendation made in the show...

“The viewers of the show trust the recommendation made in the show without realizing the scheme has been devised for their personal gains,” : SEBI

-

Last Updated on 17/01/2021 by Aish K

"The viewers of the show trust the recommendation made in the show without realizing the scheme has been devised for their personal gains," : SEBI 1
Image courtesy: The wire

Hemant Ghelani, a television anchor alongside his wife and mother, has been banned from accessing the capital market by the Securities and Exchange Board of India, on Wednesday.

The three have been accused of carrying out unethical trading following which SEBI made its decision.

The act of cause

These three pocketed about ₹3 crore between the period of January 2019 till May 2020, by following the recommendations made by a leading business news channel CNBC Awaaz and investing in stocks of the same.

According to Madhabi Puri Buch, a whole time member at SEBI: “It was observed that Jaya Hemant Ghai and Shyam Mohini Ghai have undertaken a large number of Buy-Today-Sell-Tomorrow (BTST) trades during the relevant period in synchronisation with the recommendations made in the show. Shares were brought on the previous day to the recommendations being made on the stock 20-20 show and sold immediately on the recommendation day.”

The consequences being faced by Ghai

The viewers of the show trust the recommendation made in the show without realizing the scheme has been devised for their personal gains,” Sebi said in the order. “Since the conduct of the aforementioned entities, prima facie appears to be unfair and not in the interest of investors and the securities market, necessary action has to be taken against them immediately, otherwise it may lead to loss of investors’ trust in the securities. market… It also has the effect of interfering with the development of the securities market, as investors tend to lose faith in the securities market in the face of such behavior particularly by persons with large following. Hemant Ghai has approximately 116,000 followers on Twitter on the back of his popularity, ” it added.

Ghai executed trades whilst availing unfair benefits from unpublished information that he possessed. Thereby, the regulator has taken measures against it and froze the bank accounts of all the three accused. They have also been prohibited from deposing off any asset. The matter is still being investigated and until the end of this investigation, ₹2.95 crore will stay impounded.

Ghai has been restricted from giving any sort of direct or indirect investment advice and the concerned news channel has been asked to inform its audiences about the prima facie violations of SEBI Prohibition of Fraudulent and Unfair Trade Practices Regulations.

Khushi
Khushi
Khushi is an avid reader and loves analyzing companies in the digital space. Her interest is in online marketing, business, startups, and politics. She does everything perfectly by taking extra time.
- Advertisment -

Must Read

Data Science Drives Personalized Marketing and Customer Engagement to New Heights...

0
Personalized marketing and customer engagement are crucial for businesses to thrive in the current digital era. Because data science makes it possible for marketers...