SEBI Bans Fake Trading Guru — How to Spot Investment Scams
SEBI has taken action against a fake trading academy that was misleading common people with false promises of big returns. This is a warning for anyone who follows paid stock tips or joins trading courses online. If someone guarantees profits in the market, they are likely breaking the law and could take your money.
Indians lose an estimated ₹1,000 crore every year to fake trading gurus and tip services — that's enough to pay for 50 crore cups of cutting chai at ₹20 each. Many victims are salaried people who invested their monthly savings chasing quick returns.
If you take a personal loan and invest it based on tips from an unregistered trading academy like this one, you have zero legal protection and could be left repaying your EMIs with nothing to show for it.
Key Takeaways
Always verify if a trading advisor or academy is registered with SEBI at sebi.gov.in before paying any fees or following their tips.
Never invest borrowed money or take a personal loan to trade in stocks based on tips from unregistered advisors — your EMI will keep coming even if you lose money.
Report suspicious trading academies or WhatsApp tip groups to SEBI's SCORES portal so others in your community are protected.
SEBI, India's markets regulator, has issued a formal order against Mr Yash Garg, the proprietor of Yash Trading Academy, for allegedly providing unregistered investment advisory services. In simple terms, this person was running a business that charged ordinary Indians for stock tips and trading advice without the legal licence required to do so. SEBI has strict rules — anyone charging money for market advice must be a Registered Investment Adviser (RIA).
Why does this matter to you, even if you never heard of this academy? Because hundreds of similar outfits operate on Instagram, Telegram, and WhatsApp every single day. They target salaried professionals and small business owners — people with some savings and a dream of growing their money faster. They promise guaranteed returns, show fake screenshots of profits, and charge hefty subscription fees ranging from ₹5,000 to ₹50,000.
The real danger comes when people fund these so-called investments using personal loans or credit. If you borrow ₹2 lakh at 14% interest and lose it following bad tips, you still owe the bank roughly ₹4,600 every month for five years. The market loss is yours alone — the EMI waits for no one.
Before taking any personal loan for investment purposes, always compare your options carefully. Platforms like GoCredit help you find legitimate personal loan offers from verified lenders so you at least start with the best possible rate and terms — not a predatory one.
Pro Tip: Before following any trading advisor online, spend two minutes checking their SEBI registration number on sebi.gov.in. If they are not listed, walk away immediately — no matter how convincing their profit screenshots look.
Check Your Loan Offers
Open GoCredit App →