Pump-and-dump is a manipulative scheme that attempts to boost the price of a stock or security through fake recommendations
The offender of a pump-and-dump scheme already has a position in the company's stock and sells their position after the hype has led to a higher share price
Securities and Exchange Board of India (Sebi) barred 45 entities, including actor Arshad Warsi, his wife Maria Goretti and others, from the securities market in cases related to manipulating the share prices of two companies through uploading misleading videos on YouTube channels
Sebi has taken strict action in the share-rigging case in two companies, namely Sadhna Broadcast and Sharpline Broadcast
YouTube videos on channels named 'The Advisor' and 'Moneywise' were used to recommend shares of Sadhna Broadcast and Sharpline, Such videos were also uploaded on two YouTube channels- Midcap calls and Profit Yatra in the second half of May last year
For Sadhna Broadcast, the probe was conducted between April 27, 2022, to September 30, 2022, whereas the period for Sharpline Broadcast was between April 12, 2022, to August 19, 2022
Shares of Sadhna Broadcast ended 3% lower at Rs 5.50 on BSE on Thursday. Market cap of the firm fell to Rs 55.15 crore
Shares of Sharpline Broadcast ended 1.7% lower at Rs 6.80 on BSE on Thursday. Market cap of the firm fell to Rs 7.82 crore
Sebi has restrained the offenders Arshad Warsi, his wife Maria Goretti and others from buying, selling or dealing in securities either directly or indirectly, in any manner whatsoever, until further orders
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