The Securities and Exchange Board of India on Thursday restrained Avadhut Sathe Trading Academy and its founder-trainer Avadhut Dinkar Sathe from dealing in securities and impounded Rs 546 crore of alleged 'unlawful gains'.
The regulator said that the outfit was effectively running unregistered investment advisory and research analyst services in the name of stock market education.In an ex parte interim order-cum-show cause notice, Sebi has also directed the academy and Sathe to cease and desist from offering any unregistered advisory or research services and from using live market data in their programmes.
Sebi has alleged that stock tips, live trading calls, and unrealistic return claims were sold as 'education' by the trading academy. The outfit's entire Rs 601 crore fee pool generated since 2015 is now under scrutiny.
The investigation, covering July 1, 2017 to October 9, 2025, found that Sathe and his academy were allegedly giving stock-specific buy-sell calls, targets, stop-loss levels, option strategies and capital allocation guidance during paid courses and in closed WhatsApp groups, while projecting the activity as purely educational.
Sebi cited seized video recordings and chat logs that indicate Sathe used live price charts during sessions, displayed his own mark-to-market positions, and participants were seen confirming that they took trades based on his recommendations.
The regulator said Sathe was not registered as an investment advisor or research analyst nor was the academy. It alleged that despite receiving an administrative warning in March 2024 over selective showcasing of profitable trades and misrepresentation, the entities continued to publish 'misleading videos', exaggerated testimonials and social media content promising extraordinary returns, while many participants allegedly incurred substantial losses. -- Business Standard
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