Interim order in the matter of trading in certain scrips through stock recommendations given on social media platforms Ltd.

What is this order about?

This order addresses an interim enforcement action by SEBI against individuals who allegedly manipulated stock prices through social media recommendations on platforms like X (formerly Twitter), WhatsApp, and Telegram, leading to wrongful gains.

Who it concerns

Hemant Gupta, Rohan Gupta, Aniket Gupta, Sharon Gupta, Leana Gupta, Rajani Gupta, Purvangi Gupta

What was found or directed

• SEBI found noticees engaged in fraud, manipulation, and unfair trade practices
• Noticees built buy positions in 82 scrips, then disseminated recommendations to inflate prices
• Noticees collectively made prima facie wrongful gains of INR 20.25 crores
• Noticees nos. 1-3 violated SEBI (Research Analyst) Regulations, 2014
• Operators (Hemant, Rohan, Aniket) managed X accounts and social media groups
• Profit Makers/Beneficiaries (Sharon, Leana, Rajani, Purvangi) provided trading accounts for trades

Points worth noting

• 82 scrips involved in the scheme
• X accounts @WealthSolitaire (13,600 followers) and @desiwallstreet (40,500 followers) used for recommendations
• Noticees connected as family members (e.g., Hemant Gupta is father of Rohan, Aniket, Leana, Purvangi; husband of Sharon; ex-husband of Rajani)