SEBI orders ₹1.70 crore refund in unregistered investment advisory case

This final order determines the specific amount of illegal gains made by Mr. Madhav Tiwari from unregistered investment advisory activities, following a directive from the Securities Appellate Tribunal (SAT) to re-quantify the refund amount after reviewing his bank statements and evidence.

Mr. Madhav Tiwari (Proprietor of Divinecommodity.co)

• SEBI found that the Noticee acted as an unregistered investment advisor and fraudulently assured guaranteed returns.
• The Noticee admitted to collecting INR 9,66,207 specifically for advisory services between FY 2020-21 and FY 2022-23.
• The Noticee claimed other income (SEO, real estate, astrology) totaling INR 1,52,84,893 was separate from advisory fees.
• SEBI directed the Noticee to refund the amount received from investors for unregistered advisory activities.
• The Noticee was debarred from accessing the securities market for 2 years or until the repayment report is filed, whichever is later.
• A penalty of INR 5,00,000 under Section 15HA and INR 1,00,000 under Section 15EB of the SEBI Act was imposed.
• The SAT upheld the penalties but directed SEBI to reconsider the quantification of the refund amount based on the Noticee's explanation of bank entries.

Written from the document by AI, and checked against it. The original below is authoritative.

The original document