3M Team Research Private Limited promised wealth. Instead, it delivered regulatory chaos, investor losses, and two back-to-back SEBI orders.
Its registration is suspended. Its operations have ceased. This is the full story: every violation, every direction, and every lesson investors must know.
3M Team Research Private Limited Review
3M Team Research Private Limited (formerly known as 3M Team Securities Services Pvt. Ltd.) was an Indore-based financial advisory firm.
Its CIN is U67120MP2011PTC026648. The company operated from 325, Milinda Manor, RNT Marg, Opposite Central Mall, Indore, 452001, Madhya Pradesh.
Its two directors were Pramod Kumar Jain & Rakesh Sethi. The firm ran a website under the domain name 3mteam and was active on Facebook as recently as November 2019.
It marketed itself as a premium investment advisory brand. However, behind the polished image were serious compliance failures.
The company’s last AGM was held on 29 December 2018. Its balance sheet filing stopped on March 31, 2018. Those facts alone speak volumes about how this firm was being run.
Is 3M Team Research Private Limited SEBI Registered?
No. Not in any meaningful sense, and certainly not as a firm you should approach today.
Here is the full picture. 3M Team Research Private Limited originally held SEBI Investment Adviser registration number INA000002199, granted on September 9, 2014.
For a while, that registration gave the firm a veneer of legitimacy. Clients trusted it. They should not have.
The trouble began catching up quickly. SEBI’s Interim Order in November 2019 barred the firm from operating.
The Final Order in August 2022 imposed a market ban and ordered refunds. Then, on September 20, 2023 order formally suspended the certificate of registration for one year.
That suspension would have expired around September 2024 on paper.
However, the firm has been effectively defunct for years. Its last AGM was in December 2018. Its last balance sheet filing was for the year ending March 2018.
There is no record of renewed operations, fresh compliance filings, or active advisory services after SEBI’s crackdown.
So the short answer is: No, 3M Team Research Private Limited does not operate as a SEBI-registered investment adviser today.
Its registration was suspended, its operations have ceased, and its directors faced market debarment. Do not engage with this firm or anyone claiming to represent it.
SEBI Order Against 3M Team Research Private Limited
SEBI received investor complaints in February 2016 and March 2017. These complaints alleged that the firm was posing as a SEBI-registered portfolio manager, a category it had no licence.
Investigations revealed a wider pattern of fraud. SEBI passed its Interim Order on November 26, 2019, followed by a Final Order on August 4, 2022, and then a Registration Suspension Order on September 20, 2023.
Three orders. Seven years of proceedings. One firm at the centre of it all.
Violations by 3M Team Research Private Limited
SEBI’s findings reveal multiple clear regulatory violations by 3M Team Research Private Limited across advisory, portfolio management, and client handling practices.
1. Offering Unregistered Portfolio Management Services (PMS)
SEBI bars advisers from managing client funds; instead, they must hold a PMS licence under the Portfolio Managers Regulations, 1993 (minimum ₹25 lakh per client).
However, 3M Team had no PMS licence and still advertised PMS, hired for “PMS & Wealth Management” roles (Naukri/WisdomJobs), and billed clients for services labelled “PMS.”
Therefore, an arbitration tribunal found the firm controlled client funds, and SEBI treated this as a violation of Section 12(1) of the SEBI Act and Regulation 3 of the PMS Regulations, 1993.
2. Promising Assured and Unrealistic Returns
No SEBI-registered entity can promise fixed or guaranteed returns; instead, markets carry risk and such claims amount to fraud.
However, 3M Team’s website promised 200%-400% annual returns, ₹40,000-₹50,000 monthly returns, and 100-200% “multibagger” gains, while calling its tips “sure shot and money-making calls.”
Moreover, these were not framed as estimates but as assured outcomes to attract investors.
Therefore, SEBI treated this as fraud under Regulation 2(1)(c) of the PFUTP Regulations and a violation of Clauses 1 and 8 of the IA Code of Conduct.
3. Failure to Segregate Advisory and Execution Services
Regulation 22 of the IA Regulations requires advisers to keep advice and trade execution separate and not compel clients to use the same entity for both.
However, Rakesh Sethi acted as Director of 3M Team while also serving as an Authorised Person of Arihant Capital Markets.
Moreover, a 3M employee sent Demat and trading account opening forms to a client, and the arbitrator found Sethi controlled the client’s account and decisions.
Therefore, SEBI confirmed this as a violation of Regulation 22 of the IA Regulations.
4. Luring Clients to Open Trading Accounts
Sethi used 3M Team’s credibility and website claims to direct clients to Arihant Capital Markets where he worked as an AP. This created an undisclosed conflict of interest.
Clients were not told that their “independent adviser” had a financial interest in where they opened their trading accounts.
SEBI held that Sethi violated Section 12A(c) of the SEBI Act and Regulations 3(d) and 4(1) of the PFUTP Regulations.
5. Failure to Maintain Client Master Data
During SEBI’s proceedings, the firm was asked to produce client records to separate legitimate advisory earnings from illegal PMS collections.
The firm could not provide this data. As a result, SEBI treated the entire ₹89.4 lakh collected between September 2014 and November 2019 as fees received in contravention of applicable regulations.
Penalty
SEBI imposed a total monetary penalty of ₹10,00,000 (Rupees Ten Lakh) on all three noticees under the Final Order dated August 4, 2022.
The penalty broke down as follows:
- ₹8,00,000 under Section 15HA of the SEBI Act (for fraudulent and unfair trade practices)
- ₹2,00,000 under Section 15HB of the SEBI Act (for other contraventions)
Additionally, SEBI directed as mentioned in the suspension order:
- Full refund of ₹89.4 lakh collected from clients within 3 months
- Public notice in national and local newspapers about the refund process
- Asset freeze on all properties, mutual funds, and shares of the noticees until refund completion
- 1-year debarment from accessing the securities market (or until refunds are completed, whichever is later)
- Registration suspension for 1 year under the September 2023 order
Lesson for Investors
3M Team Research Private Limited is proof that a SEBI registration number is not a guarantee of honest conduct. Always go deeper before trusting any financial adviser.
- Verify the registration: check status on SEBI’s official intermediary portal, not just the firm’s website
- Reject assured return promises: no registered entity can legally guarantee profits in securities markets
- Understand conflicts of interest: if your adviser is also connected to your broker, that is a red flag
- File complaints early: use SEBI SCORES to report violations the moment you notice them
Investors who acted on 3M Team’s promises lost real money. The SEBI process took years. Prevention is always faster than recovery.
What To Do In Such Cases?
If you have invested with a firm that made false promises, accepted fees in violation of regulations, or operated outside its licensed scope, you are not without options. Act systematically. Act quickly.
Step 1: Collect Evidence
Compile every document linked to your interaction: advisory agreements, invoices, bank transfers, emails, WhatsApp chats, and call recordings.
Capture screenshots of claims (returns, services, guarantees) and maintain a clear timeline of events.
Well-structured evidence significantly strengthens both complaint and recovery proceedings.
Step 2: Reach Out to the Entity
Send a formal written complaint to 3M Team Research Private Limited outlining your grievance, amount involved, and expected resolution.
Keep the tone factual and attach key evidence; this creates an official record of dispute.
Regulators expect you to attempt resolution at this level before escalation.
Step 3: File a Complaint in SCORES
If the response is inadequate or absent, file a detailed complaint on SEBI SCORES with all supporting documents.
Clearly describe violations, financial loss, and attach proof to avoid delays or rejection.
SEBI may direct the entity to respond, initiate examination, or use your complaint as part of broader enforcement.
Step 4: Register a Complaint with SMART ODR
If the issue remains unresolved after SCORES, escalate it to SMART ODR for structured online dispute resolution.
This process involves conciliation and, if needed, arbitration for issues like fee disputes, mis-selling, or non-delivery of services.
Both parties must participate, and outcomes depend on evidence and contractual terms.
Step 5: Stock Market Arbitration
If ODR does not resolve the matter, move to formal arbitration for a binding decision.
Present all evidence, loss calculations, and communication records to support your claim.
A successful award can enable legal enforcement and improve chances of monetary recovery.
Need Help?
If you’ve been affected by misleading advice, unauthorised fund handling, or false return promises, you don’t have to navigate the process alone.
Register with us. We provide structured, end-to-end support to help you move from confusion to action.
- Case Review & Strategy: We assess your documents and identify key violations and the appropriate path (SCORES, ODR, or arbitration).
- Evidence Organisation: We structure your emails, chats, invoices, and payment records into a clear, usable format.
- Complaint Drafting: We prepare precise, regulation-aligned complaints to strengthen your submission.
- ODR & Arbitration Guidance: We help you present your case, structure claims, and respond during proceedings.
- Ongoing Support: We assist with follow-ups, responses, and documentation throughout the process.
All support is confidential and focused on clarity, compliance, and proper representation.
Conclusion
3M Team Research Private Limited once held an SEBI registration. It collected nearly ₹90 lakh from clients and made promises of 200-400% annual returns.
It ran an unlicensed portfolio management operation and mixed advisory and execution roles. And ultimately, it paid a ₹10 lakh penalty, faced a market ban, was ordered to refund clients, and saw its registration suspended for a year.
Today, the firm is effectively defunct: no active operations, no fresh filings, no valid registration.
The lesson is simple: a SEBI registration badge is a starting point for trust, not the end of due diligence.
Always verify current status. Always ask questions. And if something goes wrong, act fast.
