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Trader Ordered to Refund $57.5M for Unregistered Advice
24 Oct
Summary
- Avadhut Sathe ordered to refund 5.46 billion rupees.
- Services provided under guise of stock market education.
- Regulator found unregistered investment advice was given.
India's market regulator has imposed a substantial penalty on options trader Avadhut Sathe and his associated trading academy. They have been ordered to refund a total of 5.46 billion rupees, equivalent to $57.5 million, to individuals who enrolled in their courses.
The core of the regulatory action is the determination that Sathe and his academy provided unregistered investment advice and research services. These services were allegedly offered under the deceptive guise of stock market education, misleading participants about the nature and legality of the offerings.
This decisive action by the regulator highlights a crackdown on entities that may exploit educational platforms to conduct unauthorized financial advisory activities, emphasizing the need for compliance with investment service regulations.
