Sebi orders Avadhut Sathe Trading Academy to repay ₹546 crore and bans market access
India's securities regulator ordered Avadhut Sathe Trading Academy and its founder to refund ₹546.17 crore to participants and barred them from the market for two years.
The Securities and Exchange Board of India issued a 171-page order requiring Avadhut Sathe Trading Academy Pvt Ltd and its founder Avadhut Sathe to reimburse participants ₹546.17 crore gathered for unregistered investment advisory and research services, along with ₹67.87 crore in interest. The regulator also levied a combined fine of ₹11.5 crore: ₹6 crore on the academy, ₹4 crore on Avadhut Sathe, and ₹1.5 crore on Gouri Avadhut Sathe for oversight failures.
The academy and its founder are barred from market participation for two years or until the refunds are made, whichever occurs later, while Gouri Sathe faces a six-month ban. Refunds must be completed within five months, with notices to be published in newspapers within 30 days, and the entities' bank accounts remain frozen until the amounts are transferred to the designated account and the Investor Protection and Education Fund.
Why it matters
The ruling highlights strict enforcement against unregistered financial advice, protecting investors and reinforcing market integrity.
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