In our continuous effort to keep you safeguarded from the market related frauds and increase awareness while conducting trades, we request you to go through the advisory issued by NSE and would request you to ensure that you do not engage with the individuals/entities mentioned below.
NSE has issued a press release dated January 17, 2023 w.r.t. Facebook pages claiming to provide ‘Dabba Trading’ services. Investors are cautioned and advised not to subscribe to any such scheme/product offered by such Facebook handles in the stock market as the same is prohibited by law.
The list of the Facebook pages is as below:
Investors are cautioned and advised NOT to trade on such illegal trading platforms. Participation in such prohibited schemes/platforms is at investors’ own risk, cost and consequences. Further, investors are advised not to share their trading credentials such as user id/ password/OTP/PIN with anyone.
In terms of Sections 23(1) of Securities Contracts (Regulation) Act, 1956 (SCRA), any entity/person who contravenes sections 13,16,17 or 19 of the SCRA shall be prosecuted and on conviction, he shall be punishable with imprisonment for a term which may extend to ten years or with the fine up to twenty-five crores or with both. As per Section 25 of SCRA, offences punishable under section 23 are cognizable offences within the meaning of Code of Criminal Procedure,1973 and as such can be investigated by state law enforcement authorities also. In addition to being violative of the securities laws, dabba trading also falls within the purview of Section 406,420 and Section 120-B of Indian Penal Code,1870.
Accordingly, we would request you to be cautious and ensure that you do not engage in any activities with such persons/entities.
