Sebi warns investors against fraudulent communications misusing its name, logo, letterhead

New Delhi: Markets regulator Sebi on Wednesday cautioned investors about fake communications falsely issued in its name, misusing its logo, letterhead, and claiming to be from its officials.

The regulator asked the public to stay alert while sharing personal information or money in response to such fraudulent messages.

The cautionary statement comes after Sebi noted that certain individuals received communication wherein the sender falsely claimed to be an official of Sebi using letterhead, logo and seal of the regulator.

In certain instances, the sender issued notices through Social Media Platforms asking for payment of a fine to prevent the regulator from taking action against the recipient, sender forged sale Certificate to show that he was a buyer of PACL property, sender issued a fake certificate of use of third-party vendor account, Sebi noted.

Accordingly, the regulator has cautioned the public or investors "to verify communication purported to have been issued by Sebi...from the Sebi website".

Also, they have been asked to be vigilant while dealing with communication/senders demanding information or payment on behalf of Sebi.

The regulator has asked investors to verify the authenticity of any communication that they might deem to have received from it. Further, all the communication from Sebi can be verified from its website ( www.sebi.gov.in).

Sebi said that every order passed by it bears a unique reference number, all the official communications used by it, such as letters, notices, show-cause notices, and summons issued by it have a unique document identification number.

All the orders, official communications and recovery certificates issued by Sebi are available on its website, it added.

Besides, the Sebi document verification system has been put in place to facilitate recipients to check the veracity of documents which appear to have been from it.

Last month, Sebi cautioned investors against unsolicited messages from unverified people and asked them to refrain from joining WhatsApp groups or communities.

This warning came following a rise in cases where entities are using social media platforms to entice and deceive gullible investors in the securities market.