Citizens' Issues
Dubious MLM schemes thrive while regulators and central and state governments remain apathetic

An RTI query revealed that the ruling establishment and regulators have done little or nothing to protect the consumers while simply “passing the parcel” to each other

Two years ago, Moneylife Foundation sent a memorandum to the Prime Minister’s Office (PMO) on Multi Level Marketing (MLM) or Ponzi schemes which are luring and fleecing millions of Indians. A Right to Information (RTI) query on the action taken, if any, on our memorandum shows that the document is being passed around like the parcel in the nursery rhyme, with no action whatsoever. Interestingly, the PMO sent our memorandum to the ministry of finance, which in turn passed it to the Reserve Bank of India (RBI) and the Securities and Exchange Board of India (SEBI), which did nothing. A parallel effort pursued by us with the ministry of corporate affairs and the ministry of consumer affairs has been equally ineffectual—but at least in that case, one learns that a multi-ministry group is looking into the matter. It is not clear if the finance ministry is a part of it or not.

On 17 May 2011, Moneylife Foundation sent a memorandum (click here to read the memorandum) to the Prime Minister’s Office (PMO) seeking its urgent intervention in dangerous MLM schemes, especially online survey company SpeakAsia is financial finished; its applicants have lost heavily, but the dubious management continues to make news for offering a fraudulent exit option to its investors, which the Times of India reports, is a hoax. (full story: Meanwhile, Moneylife’s memorandum to the PM received no response for nearly two years. Then on 5th January 2013, Aditya Govindaraj filed an RTI query on action taken, if any. We received a response with documents and file notings on 7 February 2013 which offers this ineffectual sequence of activity.

According to CPIO of PMO, Salil Kumar, the PMO forwarded the Moneylife Foundation’s Memorandum to the Secretary, Department of Economic Affairs (DoEA) on 31st May 2011 (an ’attested‘ copy was enclosed) and asked them to respond to the RTI. The DoEA in turn forwarded it to SEBI and RBI for their comments on the action to be taken against MLMs. This was done on 27th May 2011.

SEBI’s responded to the DoEA on 23 June 2011 saying that MLMs do not come under its purview. It said that MLMS are under the Prize Chits and Money Circulation Scheme (Banning) Act, 1982, which was administered by the state governments. It is well known that state government simply ignore letters from various regulators, asking them to act against MLMs and Ponzis. The SEBI response however is strange. Most MLMs are collective investment schemes of sorts and would come under its regulation.

Interestingly, the RBI under the present dispensation simply ignores queries and it seems to have ignored the letter from the DoEA, forwarded by the PMO as well.

Essentially, this means that the ruling establishment is uninterested in doing anything about massive MLM and Ponzi schemes which are raising tens of thousand crore rupees through fake promises. The promoters of these Ponzis, who have become immensely wealthy, have quickly established political connections, especially with various state governments. Moneylife Foundation has been waging a long battle to get in some rules to protect investors, but the government seems uninterested.




4 years ago

I did not want to post this but since these QNETERS prompted and instigated me so BE IT...

The esplanade court today heard the remand application of the state i.e EOW.

Mr. Abad Ponda appeared on behalf of all the eight arrested top leaders of QNET in mumbai.

After hearing the arguments of both the sides...the judge has had remanded all the eight arrested top leaders of QNET in mumbai in police custody till the 29th...

And more and more people from QNET are now coming forward and giving statements to the EOW mumbai and joining my case as a "witness"...QNET days are numbered now...the deck of cards is collapsing..


4 years ago

Hello Friends, since i got my FIR registered in the month of August, it has been three months QNET has failed to re-start the "SYSTEM" In mumbai. First they had to cancel their grand celebration planned to be held at "Holy Spirit Hospital" Hall in andheri-east.

Later these QNETERS tried to do a "system" in Islam Gymkhana and had to cancel that also.

It is said that the third time these people placed advertisements in newspapers of mumbai to invite people into investing into a "Business Opportunity" and were holding that meeting in hall in dadar-west.

It is being said that today morning crime branch officials raided several residential places of QNET leaders all over mumbai and the following were detained/arrested.

Vivek Kumar Singh

Shashi Bushanrameshwar Pandey

Namrata Pandey

Sabina Mathews

Vijay Mathews

Jagdev Singh Parmar

Rohit Chandra

Mahesh Bhansali

All the above people have shared the "proceeds of crime" and huge amounts of money had been transferred into their bank accounts under the guise of "commissions paid". Sources say these huge amounts of money has been raised by running a money circulation scheme in India under the guise of "ecommerce" by QNET India.

It is now upto the rest of QNET IR,s to decide whether they want to continue to be part of this crime of "money circulation scheme" or they want to join the investigation and help the police and become "Government Aprovers".

It is your choice you want to become a accused in this crime, because some day some one will surely report you, it is better to give up this "white collared crime" now itself, then land into trouble later.

I appeal to you all IR,s to give this anti national activity once again, Please do not forget this is not happening the first time. Previously also in chennai assets,properties,cars, bank accounts etc of all TOP IR,s and team leaders were sealed by chennai CID.


4 years ago

Now Absconding Accused Vijay Easwaran disowns "QNET INDIA"

These are experts taken from the interview of Absconding Accused Vijay Easwaran

“QNET operates in India through a Franchise company hence Absconding Accused Vijay Easwaran has no involvement in it, he is neither a director nor a shareholder of Qnet India.

He further threatened to seriously think of Pulling out of INDIA.”

BOSS, you are talking of pulling out? YOU and YOUR SCAM will be KICKED out of my nation INDIA wait and see and this will not be the FIRST TIME that you are KICKED at your FAT A$$ and thrown out, will follow your SHAM company and expose it till you call it QUITS, the sooner you PULL OUT the better warna you know that saying “Badey Beaabroo ho kar terey dar sae nikley”

So Mr. Absconding Accused Vijay Easwaran if you have a BRAIN to think of new new SCAMS there are people who can work together to EXPOSE your SCAMS...r u ready for it now….hahaha


4 years ago

Seminar of Illegal MLM/Money circulation/Binary Marketing Schemes on 20th of September 2013 at 3.30 Pm, Free entry, Please register A.S.A.P.

Come on Friends a golden opportunity for us LIKE minded people to come together and share our thoughts and experiences regarding this menace being played in India on the name of MLM/Network marketing and what not. LETS MEET !! YES !!

Saradha, Speak Asia, QNet, City Limouzine, StockGuru India, Sahara, MPS Greenery, NMart Retail… All these start as hot, new, investment opportunities and as alternative careers that offer high earnings and ways to escape the drudgery of 9-to-5 jobs. But, eventually, most of them fetch only small additional income and, worse, encourage you to lure and mislead your closest friends and relatives. You need to know how multi-level marketing (MLM) schemes and ponzis can destroy a large chunk of your savings or push you into debt. Understand the mechanics of these schemes, the laws that are applicable to them and why regulators fail to rein in dubious enterprises before they cheat thousands of people. Understand the basics of how to keep your money safe—the first step to smart investment! Collective investment schemes are not even under SEBI's regulation.

Sucheta Dalal, founder trustee of Moneylife Foundation and Managing Editor of Moneylife magazine, is one of the best known financial journalists in India. She has worked with many of India's leading newspapers including Times of India, Indian Express, Economic Ti mes and Business Standard. She was awarded the Padma Shri in 2006 for her investigative journalism spanning over 25 years which included exposing the Harshad Mehta scam in 1992. Sucheta Dalal will be conducting this seminar.

For registration please Contact:
Seraphina / Komal
at 022-49205000 or
email [email protected]
Log on to


4 years ago

This video is so FUNNY, every one should watch it..will lighten up your day :)

Say thanks to creator James for doing this :)


4 years ago

All these words or sentences means the SCAM called QNET…

Listed below are some of the lines or words which mean nothing but QNET aka SCAM

Owner at Global marketing project
A Visionary at Global Marketing Project
Retired at I am THE COMPANY
e-Entrepreneur ! at Entrepreneur
Co Founder at My Office My Health
Global Marketing Projects at E- Enterprenuer
Works at Self Employed and Loving It!
Global Partner at Qnet
Worked at I am unemployable
Business Owner at Business Owner of a Global E-Franchise
Worked at Qnet
Past: THE V and QNET | Faith Egypt | Team Bring It

Global Entrepreneur at QNET (Official)
Past: InService Brotherhood Bootcamp
Works at Achieving the Dream
Chief Executive Officer at Unemployable
Works at Retired
Prosperity Consultant at Faith - Empowering You, Life & Business Coach, JPO Consultant, Networker at Tigers - Leveraging Vision andIndependent Consultant at QNET (Official)
Past: Genpact
Studies Leadership management style at Swiss E-learning Institute
Former Partnership at QI intl
Works at Self Employed and Loving It!
Worked at Honkong Based Multi Billion Dollar Company
Worked at Self-Employed (Business-Entrepreneur)
Retired of a JOB at Social Entrepreneur
Partner at ßusiness of Imp0rts & Exp0rts
Owner at E-Entrepreneur
Works at
Chief Executive Officer at Briltime Corp

If you see any of the above keywords on social media profiles of people trying to catch up with you ..just RUN RUN RUN :P


Monique Bessette

4 years ago

Timeshare scams are also something to beware of. It would be good to see legislation whereby timeshare companies can only charge "reasonable" maintenance costs and not use this annual fee to fleece people's bank accounts. PS - I do not own a timeshare, never have and never will unless legislation is introduced to protect buyers. This is a good article on how to avoid being scammed:

Sandeep Patel

4 years ago

Need stern government action to curb the menace .... the franchisee Vihaan Direct Selling would be a good place to start the investigation and this time notices should be sent to all the top earning independent representatives ..... they are the main source of this plague .....

Sandeep Patel

4 years ago

All IR's (customer-distributors) in service tax parlance, with an annual income of over 10 lacs should be paying service tax for advertising and promotional services which they provide to Qnet as well as to the common public for promoting and distributing Qnet's products... Is that happening ??? ... needs to be checked by the IRS, RBI, DRI etc and the defaulting parties should be penalised. As one knows and from the various articles and pages published on social networking sites, the income generated from kthe business is huge for the top 20% of the members of the pyramid and there exists the potential of a revenue loss for the Government in case the IR's or Qnet or Vihaan or Vanamaala any of their subsidiaries (with multiple cross holdings) fail to submit / pay the requsite taxes. one needs to understand that all IR's themselves are business entities and need to have certain registrations as mandated by law. The bifurcation (if any) of the TDS for commision payouts to IR's by Vihaan/ Qnet needs to be checked.

Having worked in the area of Excise and Service tax as a professional one basic premise I have learnt - Ignorance of the law is not an excuse for not following the law and the above mentioned rule on service tax applicability for customer-distributors have been in existence since 2006... Lot of money for our Government especially from the top 20% of the earning members of Qnet or could be more ...

I am not saying that the business is illegal, however, within the existing framework of the law the above needs to be checked and Vihaan's financial records and payouts to all IR's should be verified.

The policy and procedures of Qnet clearly state that an IR is a contractor and not an employee of the company... Therefore QNet themselves declare that IR's are outsourced agents who are promoting their products and services via word of mouth ... earning a commision for doing so and are therefore individual business entities ....

Some interesting facts to be noted:

Also a point to note that while Vihaan is registered with the MCA since Oct 2011, they have yet to file their balance sheet with the ROC at Bangalore. While the e-filing status is active, the digital signature certifacates have expired. One of the directors also holds a position of a director in another company where the same phenomena can be noticed. Understand from colleagues who are CA's that while DSC's are not mandated by MCA it brings about a transparency in the manner in which a company operates.

I was also little surprised to see that one of the directors of Vanamaala tourism (as listed in the MCA company master data) is also an employee of QVI club... A first glance seemed to be a conflict of interest... QVI earns money from the services it sells to IR's, the director also earns money from the services rendered by Vanmaala (takes home a neat profit) .... but who pays for it ... all the IR's. After all the IR's are the only customer this company has....

Prana health resorts - a QVI club resort is owned by one of the members of the management team of QNet... So while an IR utilises the package and also pays Prana Health resort for occupancy, also pays Vanamaala (owned by an employee of QVI) for availaing the services and the yearly usage fee ... I am not sure any more as to what pay backs are happening in the entire system ...

All this has been gathered from the internet ... are facts based on actual links and photos from various forums and I have validated the same with a couple of IRS officers who are known to me... I would like to use this forum for the "MOTIVATED IR's" to check and see for themselves as to how deep the water is before making any further comments ... The social media truly is the 9th wonder of the world....

Sankara Narayan

4 years ago

One US national who is familiar with the way India 'works' comments that there is no sense of urgency in this country. He might be referring to our ' chaltha hai' atttude Cant the govt make it obligatory for the electronic & print mediato carry messages of caution to the public regarding MLM schemes , magic remedies just s in the US for a minimum of 10 % of advertising time?

Alok Tholiya

4 years ago

There r dubious timeshare marketing companies too and they too r thriving like RGBC and Mahindra. An investigative story and meeting by Money Life of all Timeshare members will go a long way

TD Sharma

4 years ago

How do you expect the govt. to act in this regard, with these outfits having spent (invested!) hundreds of crores of rupees lobbying for obtaining this space in the market? Our politicians are blamed for all ills-but what about the time servers in the top bureaucracy? Whatever you may write, nothing is going to happen and the MLM entities all over India and the govt. sponsored chit funds in West Bengal shall keep thriving without any whiff of any regulation!

ganesh gopal k agarwalla

4 years ago

Dear Team

Even in the Case of SAHARA ... i have an investment in one of my nephew in the said scheme of sahara which was got ceased by SEBI, but intrestingly i dont get any payment from sahara but the agent called me and told that scheme was changed to another scheme and the money will again be given to me after some more years ..when i asked the agent why you do such changes ..she replied the scheme has got changed to another scheme. but in subsequent days i found in Economics time written in bold and in the cover page that the truth reveals it self and explain what they have paid to the investor and whats remain due..but my claim is that i havnt get any such payment nor any written intimation for the changes of such scheme.


4 years ago

Very strange that these Ponzi schemes which loots people of crores of Rupees draws blank response from SEBI, who should be solely responsible to look into the matter and punish the looters.

In Gujarati, there is famous quote " Chalak chalanu, Ole gher Bhanoo"
meaning 'it is not my job; go and contact some other person.'
Meanwhile, can Moneylife oblige the people by publishing these PONZI schemes and advise people to stay away.

Dhiraj Rambhia

4 years ago


Nifty, Sensex may remain strong for a couple of days more: Thursday Closing Report

The Nifty has crossed the first target of 5,850. The next target is around 5,940

The market closed in the positive aided by a splendid recovery in the second half of trade, settling higher for the third day in a row. The Nifty has crossed the first target of 5,850. The next target is around 5,940. The National Stock Exchange (NSE) reported a lower volume of 54.49 crore shares and advance-decline ratio of 830:653.
The market opened in the negative on profit booking after two straight days of gains. On the global front, US markets closed mostly higher overnight as data on Wednesday showed that private sector companies added 198,000 employees last month. The US government is expected to announce its official non-farm payrolls report on Friday. Markets in Asia were mixed in morning trade as investors await the outcomes of policy meetings of central bankers in Japan, UK and Eurozone.
The Nifty slipped 18 points to open trade at 5,801 and the Sensex resumed trade at 19,222, 31 down 31points from its previous close. The market witnessed a high degree of volatility with the benchmarks moving between red and green in morning trade. 
The opening figure on the Nifty was its intraday low while the Sensex in late morning trade with the index touching 19,213. Selling pressure in metal, oil & gas and auto stocks kept the market in the negative in the first half of trade today. 
However, a positive opening of the key European indices saw the domestic market paring its losses and emerging into the positive in post-noon trade. The benchmarks hit their highs in the closing moments of trade.  The Nifty touched 5,878 and the Sensex climbed to 19,466.
The market closed near the highs on a bounce back which began from the post-noon session. The Nifty gained 44 points (0.77%) at 5,863 and the Sensex surged 161 points (0.84%) to settle at 19,414.
The BSE Mid-cap index advanced 0.48% and the BSE Small-cap index climbed 0.85%.
Except for BSE Consumer Durables (down 0.57%); BSE Metal (down 0.43%) and BSE PSU (down 0.11%) which ended in the negative, all the other sectoral indices closed in the positive. The top gainers were BSE Realty (up 1.68%); BSE IT (up 1.66%); BSE Capital Goods (up 1.59%); BSE TECk (up 1.34%) and BSE Bankex (up 0.86%).
Twenty of the 30 stocks on the Sensex closed in the positive. The main gainers were Hero MotoCorp (up 4.05%); TCS (up 2.10%); Larsen & Toubro (up 2.08%); Maruti Suzuki (up 2.07%) and Wipro (up 1.82%). Among the losers were Jindal Steel & Power (down 2.28%); Hindustan Unilever (down 1.69%); Coal India (down 1.25%); Tata Motors (down 1.07%) and Tata Steel (down 0.74%). 
The top two A Group gainers on the BSE were—Bharat Forge (up 7.74%) and Mahindra & Mahindra Finance (up 4.86%).
The top two A Group losers on the BSE were—MMTC (down 5.18%) and MCX (down 3.81%).
The top two B Group gainers on the BSE were— Globus Corporation (up 20%) and Orchid Chemicals & Pharmaceuticals (up 19.98%).
The top two B Group losers on the BSE were—Vybra Automet (down 19.94%) and VSF Projects (down 19.87%).
Of the 50 stocks on the Nifty, 31 ended in the green. The key gainers were Hero MotoCorp (up 4.61%); DLF (up 3.67%); Asian Paints (up 2.86%); ITC (up 2.40%) and L&T (up 2.38%). The main losers were JSPL (down 1.99%); HUL (down 1.70%); Coal India (down 1.32%); Ambuja Cements (down 1.09%) and Tata Motors (down 1.02%).
Markets across Asia closed mixed as the Bank of Japan rejected a call for an early start to its open-ended assets purchases, due to begin next year. Speculations that the Chinese banking regulator has tightened its monetary policy also weighed on investors.
The Jakarta Composite gained 0.49%; the Nikkei 225 advanced 0.30%; the Straits Times rose 0.20% and the Taiwan Weighted settled 0.13% higher. Among the losers, the Shanghai Composite tanked 0.98%; the Hang Seng shed 003%; the KLSE Composite slipped 0.06% and the Seoul Composite declined 0.81%.
At the time of writing, the key European markets were around 0.50% higher and the US stock futures were trading with marginal gains.  
Back home, inflows from foreign institutional investors in the equities segment on Wednesday were offset by withdrawals by domestic institutional investors. While FIIs invested Rs524.06 crore into stocks, DIIs took away Rs599.99 crore.
Spectrum Foods has informed BSE that the company is setting up a project of salt refinery of capacity 1 lakh TPA & spices along with a wind turbine of 2 MW. For this purpose the company has been sanctioned a term loan of Rs17.4 crore from State Bank of India and to meet the balance fund arrangement the company is re-issuing the forfeited shares on preferential basis to body corporates. The project for wind mill is to be completed by 31 March 2013 and for salt and spices by 31 December 2013. The stock fell 4.94% to Rs76.90 on the BSE.
The “tools down” strike at auto major Mahindra and Mahindra’s Nashik facility has entered the third day even as the company claimed to have suffered a production loss of 500 units due to the ongoing labour unrest. Around 3,000 workers at the Nashik manufacturing facility, which produces Scorpio, Bolero and Xylo models of SUVs and Verito (sedan), are taking part in the agitation demanding revocation of the suspension orders of one of their union leaders Praveen Shinde. The stock was up 1.48% and closed at Rs891 on the NSE.
Aditya Birla Chemicals has commissioned and started commercial production at its brownfield project at Renukoot in Uttar Pradesh, with a capacity to manufacture 145 million tonne per day of caustic soda. The company has incorporated a membrane cell technology at the plant. The stock settled 0.65% higher at Rs84.60 on the NSE.



CRISIL’s target price forecast of Spanco, graded 5/5, was Rs289. Today’s price? Rs16!

CRISIL is not a stock broker which is not serious about its buy calls and target prices. Indeed, CRISIL’s ‘analysts’ are supposed to be more hardnosed than equity analysts, given that CRISIL is an ‘expert’ in rating debt. If so, what can explain this kind of analysis and recommendation? Vested interest?

One of the biggest names in the business of analysis, Credit Rating and Information Services India (CRISIL), seems to be habitually making blunders in its equity analysis. This time we bring you the story of Spanco. Ever since CRISIL started covering Spanco, back in 2011, the stock has only nosedived from Rs133 to less Rs16 (at the time of writing this piece)! What is interesting (or should we say shocking?) is that CRISIL had stubbornly stuck to the target price of Rs289, according to an interesting blog, which keeps track of forecasting errors.

In CRISIL’s initial coverage report which was published on 28 July 2011, the ratings agency said: “We maintain our fair value of Rs289 per share and valuation grade of 5/5.” Furthermore, it stated, “We maintain the fundamental grade of 3/5, indicating that Spanco’s fundamentals are good relative to other listed securities in India.” The prevailing price was Rs133 then.

Fast forward little over a year, Spanco tanked to Rs69. In the face of this share price decline, CRISIL’s analysts stood firm. They came up with yet another report on Spanco, on 11 May 2012. In this report, they restated almost the exact same thing: “Post further interaction with the management, we will introduce FY13 forecast and revisit our estimates and fair value. At the current market price of Rs 69, our valuation grade is 5/5.” It even said, “We maintain our fundamental grade of 3/5.”

Today, the share price is below Rs16, or 94.46% down from CRISIL’s original target price of Rs289. This is not a big error—it is a massive dislocation from the forecast. This isn’t the first time that CRISIL has made this sort of error. It has done a similar sort of thing for Everest Kanto Cylinders (EKC). Sometime in October 2010, it had given EKC a rating of 4/5 and a target price of Rs146 (the prevailing price was Rs124). Two years later, on 29 November 2012, the price tanked nearly 78% to Rs28 while the company gave it a target price of Rs33!

However, we noticed something very odd in CRISIL’s second report. Somehow, the Spanco which was then experiencing difficulties in servicing debt obligations suddenly improved its collection period almost overnight. CRISIL’s report stated, “Spanco’s credit rating was downgraded from CARE B to CARE D on 6 April 2012 due to delays in servicing of debt obligations. The grade was then revised on 30 April 2012 to CARE C. According to the ratings agency, this was due to an improvement in the collection period and consequent improvement in the debt servicing by the company.” When the rating is revised from CARE B grading to CARE C grading that should set off alarm bells for a “fundamental analyst”. Just because it went up from CARE D to CARE C grading doesn’t mean the target price of Rs289 should be maintained. We see the anchoring bias at play here, when the reference level is CARE D and not CARE B grading. This bias is quite common.

This isn’t the first time that we have written about CRISIL’s fishy reports with a special penchant for giving 5/5 to junk or near-junk stocks. 

Earlier we wrote how it rated 5/5 for Helios & Matheson a small-time software company based in Chennai despite a pending criminal case against its chairman and MD. The Enforcement Directorate (ED) is currently pursuing investigations against Mr Ramachandran and Mr Muralikrishna, the chairman and director of Helios & Matheson respectively. When this sort of thing is going on, it is an obvious red flag. Unfortunately, this was ignored or overlooked by CRISIL’s analysts.

Click here to read the Helios & Matheson story. 

It is common to find stockbrokers coming out with buy recommendations on stocks that lose 80%-90% of their value. They usually have some vested interest. Earlier this year, we had written about Opto Circuits, when broker ICICIdirect kept a BUY on the company even as the share price of Opto Circuits was careening downwards.

Click here to check the ICICIdirect and Opto Circuit story.

Then there’s the case of Arshiya International when Kotak Securities had predicted that it would be the best performer of this year. Instead, the share price has tanked 75% since their call.

Click here for the Arshiya International and Kotak story.

But it is quite remarkable for an ‘independent’ research agency, that has a through grounding in dealing with more conservative world of debt securities to come out with 5/5 recommendations not on blue chips, not on solid mid-caps, but on stocks turn out to be hollow.

One of the crucial components of making a good forecast is not so much to be just close to the mark, though it is important to be as accurate as possible, but revaluating forecasts based on new information. This is what sets apart great forecasters from ordinary hacks. Even great forecasters and analysts make mistakes but they do re-evaluate based on fresh information and give their logical reasons why. When new material information is revealed, it is imperative that it will have a huge bearing on the forecast and target price. What is shocking about CRISIL’s forecast of Spanco is that its share price kept going down while it stubbornly stuck to its original forecast. The analysts in CRISIL should have at least investigated the decline in its share price and the reason behind it.

Rating agencies like Standard & Poor (S&P) which the parent company of CRISIL and Moody’s came under heavy fire in the United States for their flawed forecast of high risk mortgage securities which they stamped as high-grade. The United States government recently filed a class-action lawsuit against S&P for its role in the sub-prime crisis. CRISIL’s rating quality in equity stocks indicates that no lesson has been learnt. Analysts remain as unaccountable as before.



pinakin mamtora

4 years ago

Lesson to be learnt by Indian investors: do not be influenced by big names when making investment decisions. Another real-life example is that of the so-called Indian Warren Buffett, who off-loaded a good part of his holdings at Rs.400 per share in the IPO of A2Z Maintenance Engg & even made a rare appearance at the pre-IPO press conference of that company, probably to recommend the IPO to his fans in the markets... & today, A2Z is quoting at just Rs.20 or so. Eternal vigilance - especially when it comes to what 'experts' & 'reputed' names opine - is a must for Indian investors.


4 years ago

Dear MoneyLife Team,

What is really more surprising for me is the way you write and get ready for a mud-slinging game on other firms and analysts! You have written about ICICI, HDFC, Kotak, CRISIL etc etc but you for got your own article "Sweet Pill" on Surya Pharmacy which investors might have bit the dust and as a matter of fact that your call is even worse than any of the above miss calls. You cleverly or ignorantly not mentioned that example. WHY? Becuase it is from your own house yet got ready to sling on others!

1. Moneylife article dated Mar 24, 2011 about Surya Pharmacy titled "Sweet Pill".

2. MoneyLife article dated June 18, 2010 about Surya Pharmacy titled "Perfect prescription".

Now as a reader, I give you two choices:

1. You never written any follow up article on your worst call Surya Pharmacy. Yet mud-sling others. Why?
2. Delete my comment before your readers realize your double standards :)

The choice is yours, answer or delete?


Debashis Basu

In Reply to sreekanth 4 years ago

Hey, if you have to bitch about us, you have to take the trouble to be factual.
1. All Moneylife readers know (casual mudslingers like you need to be educated) that we recommended a precise stop-loss and stop-profit till 2011. On this basis, anybody buying Surya Pharma would have been out of the stock at a substantial profit. What a surprise for you, right? Snotty analysts of Crisil and other places do not even know that is a stop profit and a stop loss.
2. Since 2012, we have offered a review of our recommendations in every issue, on an ongoing basis. No other publication does this. I guess you have either not noticed, or prefer to ignore it because how would it fit into your vile mind.
3. Since there are careless readers who read selectively and act selectively, from 2012, we have dispensed with the automatic stop-loss and stop-profit formula, which used to be there at the bottom of Street Beat in each issue. We have replaced this with ongoing review and recommendations so that nobody is every in doubt about our current call on a stock we have recommended in the past.
4. Those who read Moneylife you will know that we are the only publication, which has been doing a yearly review of our stock recommendation with all the hits and misses. Our performance has been excellent year after year, even in a declining market.
You are free to comment here but if you learn to be factual. Otherwise we will surely delete your comment and block you. I simply do not have the time to read your trash and compose a reply for loathsome creatures like you.
And while we are at it, here is a reader response to the quality of our stock analysis. Read and burn inside, given how full of bile you are.


4 years ago

To whom to believe is a question! Thank you for bringing out this article where CRISIL behaved as a speculator gambler. I don't think CRISIL with respond to this mail.


4 years ago

Listen Everyone. Don't believe anyone. Try to keep stop loss. Don't worry while booking loss. Do your own study. Shares are falling down because of the following reasons
1. Debt
2. Pledging of shares
3. Low promoter holding
4. Margin trigger
5. Poor performance
All the above five are coupled with each other.

Ramesh Poapt

4 years ago

Great ML team!Pl continue to highlight such issues in the best interest of retail investors from halal street general,investors to be alert when pleadged % is high and FCCB issuance is high.Lenders are offloading mercilessly shares n sometimes to much lower level than the 'fair value'!In last one month, we saw such many tragedy in mid/smallcaps.Muutual funds are smart enough to smell!

Dayananda Kamath k

4 years ago

if this is analytical skills of cricil how we can believe their credit ratings. god save the banks who depend on their ratings and the stock analysts, who also depend on crisil rating for their analysis


4 years ago

Shocked to read the full report and story as above : the leading institution CRISIL giving the target for SPANCO's share price as Rs. 289 but share falling below Rs.16 ! This calls for full investigation : who lost, who gained, how recommended ?? etc.
SEBI must wake up and prove it is doing it's job.


4 years ago

Crisil has the authority to upgrade and downgrade stocks of various firms.Is there any organisation that regulates these rating agencies and penalize them for their wrong doing?


4 years ago

have you gone through crisil's fundamental and valuation rating in respect of confidence petro...?
check out and you may find many more worms in the can. apparently reports are influenced only to fulfil certain nefarious designs of promoters and/or some other vested interests.small time investors or should i say traders are being parted from their money by these tools used by such respected and highly regarded names of the financial world.vry vry sad.....!

Anil Agashe

4 years ago

CARE seems to have revised credit rating twice in the space of 15 days!What great efficiency!

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