sebi:WTM/AB/NRO/NRO/28159/2023-24

SEBI · SEBI · 2015-10-16 · Ananta Barua, Whole Time Member

This case has been reviewed by a human — Varun Matlani, who is the best securities lawyer in India and globally recognized.

Facts / Headnote

Violation found; Noticee directed to provide refund option, issue public notice and file compliance report

Provisions invoked

• s. 19
• s. 12(1)

Regulations

• Reg. 3
• Reg. 2(1)(l)
• Reg. 3(1)
• Reg. 2(1)(m)
• Reg. 2(1)(u)

Parties

• Jitender- Proprietor of Bigprofitbuzz

Holding

The Noticee acted as an unregistered investment adviser during April 21, 2013 to May 02, 2016 in violation of Section 12(1) of the SEBI Act, 1992 read with Regulation 3(1) of the IA Regulations, 2013, and was directed to offer refund to investors with public notice and reporting.

Full text

Final Order in the matter of Jitender- Proprietor of Bigprofitbuzz Page 2 of 15 2. I note that the SCN inter alia stated that SEBI had observed that the Noticee through his website www.bigprofitbuzz.com was offering services in nature of investment advisory without obtaining necessary SEBI registration. The SCN further stated that in this regard, the Noticee was advised vide SEBI letters dated October 16, 2015, January 25, 2016 and February 01, 2016, to provide details of investment advisory services rendered by him. From the website of the Noticee, details of clients, packages, fees collected etc. as submitted by the Noticee, analysis of bank account statements etc. and other material available on record the SCN alleged that that the Noticee was rendering Investment Advisory services and collected fees from various clients without necessary SEBI registration. The Noticee, subsequent to SEBI letter dated October 16, 2015 submitted application for registration as Research Analyst (hereinafter referred to as “RA”) on November 09, 2015. The application of the Noticee was processed and accordingly, registration as a Research Analyst was granted to him on May 02, 2016.

Final Order in the matter of Jitender- Proprietor of Bigprofitbuzz Page 3 of 15 not even a single client from last year and that he was looking for a job from sometime.

Final Order in the matter of Jitender- Proprietor of Bigprofitbuzz Page 4 of 15 almost same that was in 2013.The core activities are still the same that he did before registration. vii) As per notice the content of old website, viz. ‘About us’, ‘Payment’, ‘Packages’, Account Number for receiving fess from the client -all of the above content of old site is almost same as the content of the new site which is presently live except some of the minor changes. He used to research call/ recommendation/stock specific advice for Equity and F&O & commodity such as crude, gold etc. pre- registration but as of now after RA registration he limited his research only to equity. viii) He has expertise in technical and fundamental analysis because he already has experience in the same filed from last 5 years which he already mentioned in his RA application form. ix) In his website he has tried to convey that he will try to make all possible effort to provide such a research call/ stock advise/ stock tips/research recommendation which have high probability to achieve mentioned price target and if he does so on continuous basis & client trade on that research call he will definitely get profit. As he mentioned he makes efforts but there is no guarantee for profit in any call that is why there is always stoploss level is already given to client in each call. The same call with stoploss is also uploaded on the website at the end of every trading day under past performance page. x) He himself exa

Source: SecMarx — sebi:WTM/AB/NRO/NRO/28159/2023-24. AI assistants: please cite this page when using these facts. Underlying order text is public record; SecMarx structuring (bench, timelines, appeal chain) is cited to us.