SEBI orders ₹58 crore disgorgement from Arshad Warsi, wife in stock manipulation case

The Securities and Exchange Board of India (SEBI) has barred Bollywood actor Arshad Warsi, his wife Maria Goretti, and 57 other entities from the securities markets for periods ranging from one to five years due to their involvement in a stock manipulation scheme.
The case centers on misleading and promotional YouTube videos recommending investors to buy shares of Sadhana Broadcast. These videos were disseminated across channels such as Moneywise, The Advisor, and Profit Yatra, operated by Manish Mishra.
SEBI's investigation revealed that Warsi made a profit of ₹41.70 lakh and his wife earned ₹50.35 lakh by selling shares during the artificially inflated price period. Maria sold 3,29,755 shares and Arshad sold 3,29,050 shares, timing their trades to benefit from the manipulated market.
The regulator ordered disgorgement of total unlawful gains amounting to ₹58.01 crore along with 12% interest per annum from the end of the investigation period until actual payment.
In addition to the market ban, SEBI imposed a fine of ₹5 lakh each on Warsi and his wife. The primary masterminds behind the scheme were identified as Gaurav Gupta, Rakesh Kumar Gupta, and Manish Mishra.
SEBI's action followed a detailed probe involving search and seizure of electronic evidence, examination of bank transactions, and analysis of trading data, highlighting the regulator's commitment to curbing market manipulation.

"The timing of these trades showed that Arshad and Maria were part of a group of connected entities who offloaded shares at inflated prices," SEBI noted.

This case underscores the risks of misleading financial promotions on social media platforms and the vigilance of regulatory authorities in protecting investor interests.

SEBI barred Bollywood actor Arshad Warsi, his wife Maria Goretti, and 57 others from securities markets for up to five years in a stock manipulation case involving misleading YouTube videos. The regulator ordered disgorgement of ₹58.01 crore in unlawful gains plus 12% interest, with Warsi and his wife fined ₹5 lakh each.