ICICIdirect Cautions Customers About Fake Research Reports

Moneylife Digital Team 02 November 2021

Investor Interest

In what appears to be a strange occurrence, ICICI Securities Ltd (I-Sec), a subsidiary of ICICI Bank Ltd, has cautioned its customers about fake research reports being circulated in the name of ICICIdirect. One such research report is about an initial public offering (IPO) of a company, which ICICIdirect does not even track.

In a release, I-Sec says, “It has come to our notice that fake research reports in the name of ICICIdirect are being circulated in the market to mislead gullible investors in making inappropriate investment decisions. These reports are following the same design template as our official reports, and/or infringing our trademark, thereby making it tough for the investors to differentiate.”

One of the reports being circulated in the name of ICICIdirect is Nidan Healthcare & Laboratories Ltd. It was shared from stockseva.in. “ICICIdirect does not track Nidan Healthcare & Laboratories. Yet the report was created in the name of ICICIdirect and its analyst. Further, the email ID of the analyst mentioned in this ‘fake report’ is wrong,” says a source.

There are no contact details on Stockseva.in, and it appears to have been created to lure investors for specific initial public offerings (IPOs).

The portal page from where the report was shared is now modified and the ICICIdirect logo redirects to the original website.

“While we are taking necessary actions with the help of authorities to trace the origin and take down these reports being posted on some websites, investors are also advised to excise abundant caution in making their investment decisions based on reports whose origin may be suspect,” ICICIdirect added.

I-Sec says the reports of ICICIdirect are available to its clients at no extra cost on its portal www.icicidirect.com. Customers and investors are advised not to trust reports received from unknown and dubious sources, it added.

Comments

User

skumars.mumbai

4 years ago

The Research Team of ICICI Direct used to courier the research reports PRINTED & PUBLISHED by ICICI Direct (and even displayed on its website & vide the disclosures submitted to the bourse); misleading the investors to invest in a particular Company, citing that their PE arm ICICI Ventures (under the then leadership of Ms. Renuka Ramnath; disguising under the name of Trusts / SPVs / Series – I, II, II etc) too have pick up “substantial equity in those firms”; whereas, ICICI Bank used to lend them loans & a classic case is Sangam India.

In fact, ICICI Direct used to publicize that Sangam India, in which they have picked up upto 30% shares & have given Project loans to the tune of tens of thousands of Crores, would achieve a target of Rs. 120/-; whereas, in reality, it plummeted to Rs. 9/- during January 2009.

Similarly, it applies even to JSW Energy, wherein thousands & thousands of Crorers of Project loans were offered by ICICI Bank and as a lead manager to the IPO, got absolutely free 10 lakh shares (in lieu, of it’s underwriting fee & access to additional equity from the Promoters’ quota, to play as a market-maker OR for green-shoe operations)!

ICICI Direct's following disclaimer is hogwash & completely misleading one:

https://www.moneylife.in/article/icicidirect-cautions-customers-about-fake-research-reports/65513.html

There are dozens of such ORIGINAL PRINTED REPORTS published and couriered by ICICI Direct.