The Securities and Exchange Board of India (“SEBI”) in a Press Release dated 14th October, 2020 has cautioned all investors and general public to not rely on unsolicited stock tips / investment advice that is being circulated through bulk SMS, websites and social media platforms. In addition to this, they are further advised to exercise appropriate due diligence before dealing in the securities market.
Investors and general public are being cautioned, as over a period of time SEBI has noticed that many unsolicited messages containing stock tips / investment advice with respect to listed companies are increasingly being circulated through bulk SMS, websites and social media platforms like WhatsApp, Telegram, etc. Such messages are sent to investors and general public usually recommending to deal in specific stocks of listed companies, indicating target prices and giving fraudulent, misleading / false information relating to listed companies, inducing them to deal in these stocks which adversely affects the integrity of the securities market.
