2 out of 3 cases we came across are of account handling where traders or beginners provide their account to unregistered entity who claims guaranteed return on trading on their behalf.
The result is same in all the cases where people lose their entire capital in a few days.
Here comes a list of questions:
Is Account Handling Legal in India?
Yes, it is legal in India but only registered Portfolio Management Services provider can provide you these services. Under this service a registered portfolio manager manages your equity portfolio with the help of skilled and registered research team.
Their knowledge and years of experience help you in growing your capital. However, not everyone are eligible to use these services as the minimum capital to avail PMS services in India is ₹50 lakh.
Even if they have years of experience, they are not allowed to claim guaranteed returns and above all aware about all kind of risk involved.
Anyone reaching out to you to provide you with account handling services with the capital less than ₹50 lakh is either not registered or a scammer.
Now, scammers offering account handling services often approach via WhatsApp & Telegram where they induce people by showing fake profit screenshots.
Here is an incidents that we recently came across where victim loss their capital after sharing their login details with unregistered entity.
Case: Mr. Arif (name changed) lost ₹90k in account handling & profit sharing scam.
ADB: Hello Mr. Arif, we came across your case. Please provide details.
Arif: Sir, I was following one Telegram Channel ‘Grow Team’ for 3 years and usually check their profit screenshots that they use to share after market hours.
Recently, I thought of taking their services.
ADB: What kind of services did they offer?
Arif: Account handling with 30% profit sharing.
ADB: So, you shared your account details.
Arif: Yes, I have an account in Angel One and at that time there was ₹86,000 capital in my account.
ADB: Did their service work?
Arif: Yes, first day I earned a profit of ₹17,000/-. I was really happy. Then other day it was Tuesday and it was FinNifty expiry. They opened a position where they sold Finnifty call at ₹10 but soon the value rose to ₹170.
I lost my entire capital in a matter of a few minutes.
ADB: That’s really bad. So, were they SEBI Registered?
Arif: No, they were not.
ADB: Did you try to contact them?
Arif: I did but they didn’t pick my phone and later on deleted their channel as well.
Following telegram channel blindly without validating the details and greed to earn quick profits eventually make you fall in bigger scams. Stop following your influencer blindly and invest time to become more aware and to learn trading to become self-dependent.
