SEBI and Small Investors !!!

In my quest to protect the interests of small investors, and protect against fradulent activities by brokers, relationship managers and operators in the Indian stock markets, I undertook a study of how to ensure that brokers are continuously on their feet to provide a safe trading environment.

After reading through the SEBI site I found one May 2003 regulation that SEBI has passed which prevents brokers from fradulent dealings. Any contravention of this regulation can trigger an inquiry and suspension. The least is to make the broker pay a HEFTY FINE.

I have come across sub-brokers and associates who have cheated by overtrading a simple woman of her life savings. She and many of you can use this regulation if the broker, subbroker or associate has cheated you, by falsely inducing you in to trading or even by operating with your shares.

This regulation is simple to read and also just 23 pages in double-lined text. Do not ignore downloading and keeping a copy and wave it everytime your relationship manager, or broker, tries to hoodwink you.

You will be surprised how protected you are by Sebi.


courtesy: Bob


Well-Known Member
Hi nkp

You did a wonderful service. Thanks a lot.
It shall come as help to lot of members trying to find remedy for their problem.I wish SEBI would alos act with equal zeal.
dear nkpanjiyar,
thanks for raising qu.,against SEBI credibility, generaly small invester believe that SEBI establshed for the protect the small invester,but now from last some years SEBI officials play against them,if u want to operate any stock , u can do it so with the help of SEBI`s own guidelines,examplewise u may find it by carefuly watching the list of T catagery n percentage of cir.,breking limit. kapadiar
podmena traffica testated by M/s R R financial stock brokers ltd.. how to get it resolved. it seems they paid money to arbitrator at NSE and he gave decision in their favour