SEBI Takes Action Against YouTuber and His Unregistered Investment Advisory Business

The Securities and Exchange Board of India (SEBI) has taken action against YouTuber Ravindra Balu Bharti, his company Ravindra Bharti Education Institute, and his associates, for running an unregistered investment advisory business. SEBI has barred them from participating in the securities market until April 4, 2025, offering investment advisory services without obtaining proper SEBI registration, and ordered them to return Rs 95 million of illegal proceeds.

Bharti and his company targeted novice investors by providing unregistered investment advice, trade recommendations, and execution services, leveraging a significant YouTube following of 1.9 million subscribers. They promised high returns without disclosing the associated risks, all while operating without SEBI registration.

They also employed manipulative tactics, such as offering multiple investment plans to the same individuals, limiting their ability to make independent financial decisions.

SEBI’s action aims to curb unauthorized and fraudulent activities in the securities market.

The Indian regulator has prohibited brokers, mutual funds, and other regulated entities from associating with unregistered financial influencers (finfluencers) for marketing or promotional purposes, including financial transactions or client referrals. 

Finfluencers offering advice or recommendations on securities must be registered with SEBI. Unregistered influencers are forbidden from making explicit claims regarding returns or performance.