NSE Warns Investors Against Fraudulent Guaranteed Returns Scheme

The National Stock Exchange (NSE) cautioned investors against an entity offering guaranteed returns on investment in the stock market on Friday.

The NSE noticed that an authorized person of its registered stock broker was offering guaranteed returns and was collecting commission on such assured returns from investors.

“It has been brought to the attention of the exchange that Amit Lilhare, an authorized person of one of our registered Stock Brokers, operating through various addresses (mentioned below), is providing assured or guaranteed returns on investment in the stock market and is also collecting a commission on such assured or guaranteed returns from investors in his personal bank accounts,” NSE said in a statement.

The exchange is in the process of taking disciplinary actions against the trading member. Earlier in February, the Securities and Exchange Board of India (Sebi) had cautioned investors against placing money with unregistered entities promising assured or exceptionally high returns on investments.