Sebi Sounds Alarm On Fake Messages And Fraud: What You Need To Know

The Securities and Exchange Board of India (Sebi) has brought to attention a rise in fake messages, letters, and emails that are being circulated in its name, according to a Sebi press release issued on June 4. These communications are not just misleading; worse, they are designed to look official. Often, they have Sebi’s letterhead or logo. 

The goal? To trick people, especially investors, into handing over money or personal details.

Fraudsters Are Getting Crafty

According to Sebi, the scamsters are posing as Sebi officials and reaching out through social media, email, and even printed notices. In some cases, they demand fines to avoid so-called legal action. There are also reports of phony certificates related to third-party vendor accounts, potentially exposing people to financial risk.

What’s alarming is the level of detail in these forgeries. Some of these documents look almost real enough to fool even careful readers. That’s why Sebi is urging everyone to be cautious and to double-check the authenticity of any message that claims to come from the regulator.

How To Be Careful 

Sebi has laid out some steps so that you can be sure whether a communication is genuine. 

1. Verify Sebi Orders

All official orders from Sebi will come with a unique reference number. These can be found on the Sebi website. For that, you need to go to Home > Enforcement > Orders.

2. Check Recovery Certificates

Just like the orders, every recovery certificate that Sebi issues also comes with a unique ID. You can find these at  Home > Enforcement > Recovery Proceedings.

3. Look For The UDIN (Document Identification Number)

Similarly, every letter, notice, or show-cause that Sebi comes out with comes with a definite identification number. To check that you can go to Home > Authenticate Document Number Issued by Sebi. There’s also a step-by-step guide on how to use this tool on the website.

4. Confirm Contact Information

The names, phone numbers, and email addresses of all authorised Sebi officials are listed at Home > About > Sebi Directory. If someone contacts and claims to be from Sebi, please do a cross-check and find out if it is legitimate.

5. Check Email Domains

This one is easy. Any email from Sebi will come from an email ID that ends with @sebi.gov.in. If it comes from any other domain, it is a fraud, even if the domain looks similar.

Stay Alert

Sebi has made it clear — it does not send payment demands via WhatsApp or social media. It does not issue sale certificates through unofficial channels. And it does not ask for sensitive information without following a formal process.

If you get any message that does not seem real, do not act on it immediately. Instead, take time to verify it using Sebi’s official website. Being cautious will help you avoid fraud.