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SEBI has banned 31 companies, including Arshad Warsi and his wife, for misleading stocks through YouTube videos and selling them at inflated rates.
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The founder and CEO of Zerodha, Nithin Kamath, has responded to the ruling, saying that it should function as a strong warning for manipulators.
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The decision was made as a result of complaints SEBI received about alleged price fixing and share unloading.
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False YouTube videos with misleading content were shared to entice investors, supported by costly paid marketing campaigns.
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These videos spread inaccurate and false facts to encourage investors to purchase Sadhna stock.
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The deceptive YouTube videos attracted millions of visitors due to sponsored advertising promotions.
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One of the false videos claimed that Gautam Adani's Adani Group would take over Sadhna Broadcast.