The Securities and Exchange Board of India (SEBI) has taken strict action against a popular YouTube influencer with more than 19 lakh subscribers for involvement in an investment scam. The influencer was found guilty of misleading viewers with deceptive financial advice and has been fined ₹9.5 crores as a penalty for fraudulent practices.
According to SEBI, the influencer promoted certain investments under false pretenses, leading to significant losses for investors who trusted his advice. The regulatory body emphasized that such activities not only harm individual investors but also erode trust in financial markets. SEBI's investigation revealed that the influencer used his substantial online following to amplify false narratives and attract unsuspecting individuals into the scheme.
This action highlights SEBI’s commitment to cracking down on unethical practices in the financial advisory space, particularly on social media platforms. The case also serves as a wake-up call for investors to exercise caution and verify the credibility of financial advice they receive, especially from unregistered individuals.
By imposing a substantial penalty, SEBI aims to deter similar activities and safeguard the interests of retail investors. As digital platforms increasingly influence financial decisions, stricter regulations and monitoring are becoming critical to ensure market integrity.
