Last updated: Mar 02, 2023, 10:57 AM IST
Arshad Warsi and Maria Goretti
SEBI on Thursday pressured actor Arshad Warsi and 45 other people to do Share Pump & Dump over YouTube.
SEBI on Thursday pressured actor Arshad Warsi and 45 other people to do Share Pump & Dump over YouTube. SEBI has said that they indulged in this Pump and Dump scheme with Youtubers and created volumes and made a profit of around Rs. 75 lacs in a month or so.
Furthermore, the market regulator has denied them access to the markets.
Share pump and dump schemes fall under the category of financial fraud, where holders of tradable assets use tactics to deceive other investors. Once the value of the asset reaches a profitable level, the holders sell their holdings causing the price to drop.
In this case, the YouTubers involved would have recommended midcap/small cap stocks and ongoing trading volumes. Further, they spent on advertising to reach a wider audience. Then they dumped their stock holdings and made handsome profits in return.
Moneywise, The Advisor, MidCap Calls and Profit Yatra are the YouTube channels that SEBI allegedly sued in this case.
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