Did you trust a stock advisory that promised high returns but gave you losses instead? And now you are struggling to get your money or even a response? If yes, then it is high time to complaint against stock advisory.
Let’s get into the details step-by-step to guide you with:
- How to identify if a stock advisory is SEBI-registered
- What kind of misconduct can be reported
- How to file a complaint with SEBI and other authorities
- Realistic outcomes and resolution timelines
- Where to get help if you’ve been defrauded
Common Complaints Against Stock Advisory Firms
Whether registered or unregistered, here are the red flags and violations you can complain about:
- Giving stock tips without SEBI registration
- Assured return schemes or profit-sharing plans
- Charging hefty upfront fees with no delivery of service
- Misguiding investors with manipulated testimonials
- Forcing you into derivatives or options trading without risk disclosure
- Denying refunds or blocking communication after poor performance
How to File a Complaint Against Stock Advisory Online?
Before you proceed with filing a complaint, here is the checklist that you must follow to avoid any delay.
Check for the points like:
- Is the advisory SEBI registered?
- Do you have written records of promises made?
- Do you have proof of payment (UPI, bank, etc.)?
- Have you already asked for a refund in writing?
- Is there evidence of misrepresentation or financial loss?
Step 1: Check If the Advisory Is SEBI-Registered
Before filing a complaint, check if the advisory is registered as:
- Investment Adviser (IA)
- Research Analyst (RA)
For this visit, the SEBI website and use the intermediary search feature for the same.
If the advisory is not registered, they are operating illegally, and if registered, you can move to the next step of filing a complaint in SCORES.
Step 2: SEBI SCORES Complaint
If the advisory is SEBI-registered, here’s how you can raise your voice officially:
- Visit the SCORES portal.
- Register using your PAN and contact details
- Choose “Investment Adviser” or “Research Analyst” under complaint type
- Upload evidence: chat screenshots, payment proofs, service agreements, etc.
- Submit the complaint and note the complaint reference number
The firm will be asked to respond within 30 days. If they fail, SEBI may take regulatory action, including suspension, penalties, or license cancellation.
Step 3: If the Advisory Is Unregistered
In that case, file a cyber and financial fraud complaint:
- Lodge an FIR and file a complaint in cyber crime.
- Mention fraud, misrepresentation, and financial loss
- Attach bank details, WhatsApp chats, and payment screenshots
In this case too, you can inform SEBI by sending an email so the entity is blacklisted for future investors.
Complaint Against Stock Advisory Format
As mentioned, in the case of registered advisory, the whole complaint process is done online in the SCORES portal.
Now, to make your complaint actionable, make sure you follow the right letter format as mentioned below:
- Your full name and contact details
- Name of the advisory and its registration status (if known)
- Service details promised vs. received
- Amount paid and mode of payment
- Dates of interaction and evidence of fraud/misrepresentation
- A clear request for action or a refund
Keeping your complaint well-structured, concise, and supported by evidence helps regulators or authorities process it faster.
What Happens After You File a Complaint?
Now it is quite a simple process to report a complaint against a registered and unregistered entity, but what happens after that, how long SEBI takes to resolve the issue, and what else is required from your side to escalate the issue?
In general, SEBI forwards our complaint to the registered RA or IA for their reply. In case, advisory fails to respond within the given timeline, then SEBI may take further action and might penalize the advisory based on the evidence.
Apart from this, you can also escalate it ahead and request for arbitration to put your concern in front of the legal team of the regulatory body. Legal recovery depends on evidence, fraud amount, and registration status.
In case, you need assistance in drafting and escalating your complaint, then register with us now. We will provide personalized guidance and end-to-end support.
Conclusion
Many stock advisories operate in grey zones, some are unethical, others are outright frauds. But SEBI has laid down clear mechanisms to protect you.
Whether you’ve been misled by fake promises or lost money in high-risk tips, don’t stay silent. Take action, and do it right.
