Explained: Here's Why SEBI Banned 'Baap Of Chart' Owner From Trading

The market regulator also said that Mohammad Ansari sold 19 such courses relating to the securities market, including a few that promised assured returns, according to SEBI.

SEBI asked Mohammad Nasiruddin to refund ₹17.2 crore collected from his followers.

Market regulator Securities and Exchange Board of India (SEBI) has barred social media influencer and self-proclaimed stock market expert Mohammad Nasiruddin Ansari from securities trading. SEBI also asked Ansari, who owns a firm called 'Baap of Charts', to refund   ₹17.2 crore collected from his followers.

The market regulator initiated action after a preliminary investigation found that Ansari gave stock recommendations while misleading the traders in the guise of offering educational trading.  In an interim order issued on Wednesday, October 26, the regulator banned Ansari and a firm linked to him from buying, selling or dealing in securities.  

Ansari, a prominent financial influencer, owns and operates a firm called ‘Baap of Chart' (BOC), in which he is a sole proprietor and recommends which stocks to buy, sell and deal in the securities market.

Through SEBI's investigation, it was disclosed that Ansari gave the stock recommendations in a misleading manner under the guise of providing educational training related to the securities market to the followers.

Ansari was also found inviting investors and other clients through his Baap of Chart (BOC) platform to join several of the ‘educational courses' he offered.

The market regulator also said that Ansari sold 19 such courses related to the securities market, including a few that promised assured returns, according to SEBI.

As per the investigation, Ansari was seen bringing in investors and clients on board the BOC platform by promising them monthly returns in the range of Rs 3 lakh to Rs 6 lakh, in addition to offering stock recommendations to those paying for ‘live market' transactions.

The money that came in from those looking for investors was deposited in the bank accounts of Ansari, Padamati and Golden Syndicate Ventures, which have also been prohibited from the securities markets until further orders.

Ansari has a total of over 4 lakh subscribers on his YouTube channel. Further, Ansari operates a Telegram channel by the name of ‘Baap Of Chart Option Hedging', which has around 53,000 subscribers.

As per reports, Ansari is the sole proprietor of 'Baap of Chart', a proprietorship firm. He offers the courses related to stock trading through his videos on YouTube and other channels. He also collects enrolment fees from traders and clients. 

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