(Reuters) -India’s markets regulator on Tuesday barred former executive at IIFL Securities Sanjiv Bhasin from the securities markets for allegedly making misleading stock recommendations on television and social media platforms.
The Securities and Exchange Board of India (SEBI) in an interim order alleged that Bhasin bought shares and then promoted those stocks on business news channels like Zee Business and ET Now, as well as on IIFL’s Telegram channel.
After his public recommendations drove up the stock prices, he is said to have sold his holdings for profit, according to SEBI.
A message sent to Bhasin, whose contract with IIFL ended in June 2024, seeking comment on the SEBI order was not immediately answered.
IIFL Securities said Bhasin had informed the company about SEBI’s probe but did not disclose details of the same.
“He (Bhasin) was not a member of the board of directors of IIFL Securities or any other group company or its affiliates,” the company said in a statement.
SEBI said that it had investigated Bhasin’s stock recommendations and trading activity from January 01, 2020, to June 12, 2024.
The regulator also ordered to impound 113.7 million rupees($1.3 million) of “unlawful” gains from Bhasin and others who facilitated his activities.
($1 = 86.3010 Indian rupees)
(Reporting by Nishit Navin; Editing by Vijay Kishore)
