Illegal Investment Advisory: Anilkumar Talpada of Ideal Equity Barred from Markets, SEBI Slaps Rs1 Lakh Fine

Moneylife Digital Team 02 May 2024

Investor Interest

Market regulator Securities and Exchange Board of India (SEBI) has barred Anilkumar Talpada of Ideal Equity for two years for providing unregistered investment advisory services. While slapping a fine of Rs1 lakh, SEBI also asked Mr Talpada to refund Rs17.65 lakh collected as fees from clients, investors or complainants.

In an order, G Ramar, chief general manager (CGM) of SEBI, says, "I find that aforesaid total credit of Rs17.65 lakh in the bank account of the Mr Talpada was received by it as fees for investment advisory services provided by it while acting as an investment adviser without obtaining a certificate of registration from SEBI. I find that Mr Talpada, by acting as an investment adviser within the meaning of the IA Regulations, without obtaining a certificate of registration from SEBI, has acted in total disregard to the requirements of law and has violated Regulation 3(1) of the IA Regulations and Section 12(1) of the SEBI Act."

SEBI investigated a complaint received regarding the activities of Ideal Equity, where Mr Talpada is the proprietor. The complaint alleged that he paid Mr Talpada in exchange for providing stock trading tips and offering various subscription plans.

The market regulator, on reviewing archived pages of idealequity.co.in, found that the Mr Talpada purported to offer investment advisory services via calls, including cash (intraday), futures and options (F&O), and Multi Commodity Exchange of India Ltd (MCX), charging fees of Rs20,000, Rs30,000 and Rs40,000, respectively.

SEBI also noticed that Mr Talpada shared its ICICI Bank account number and a current account, along with eight mobile numbers for contact on the website.

SEBI restrained Mr Talpada from selling assets, properties, mutual funds, shares, and securities held by them in demat and physical form except for the sole purpose of making the refunds.

"Mr Talpada shall not undertake, either during or after the expiry of the period of restraint and prohibition, either directly or indirectly, investment advisory services or any activity in the securities market without obtaining a certificate of registration from SEBI as required under the securities laws," the market regulator says.

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