Many investors trust their brokers to manage trades honestly and fairly.
However, sometimes investors notice unexpected or excessive charges in their trading accounts.
These charges may happen when brokers execute too many trades, mainly to earn extra brokerage fees. This practice is commonly known as brokerage churning.
It can reduce an investor’s profits and even cause losses over time.
If you are trading through Mandot Securities and notice unusual charges, it is important to understand what might be happening.
Mandot Securities Excess Charges Overview
Mandot Securities is a brokerage firm that provides trading services to investors in the stock market.
Like most brokerage firms, it charges fees for executing trades, maintaining accounts, and providing related services.
However, sometimes investors may notice excess charges in their accounts.
Why Does Brokerage Churning Happen?
Brokerage churning usually happens when a broker tries to increase their commission income by executing frequent trades.
This churning in Stock Market can slowly increase costs for investors without improving their investment outcomes.
Since brokerage fees are charged on each transaction, more trades mean more earnings for the broker.
Instead of focusing on the client’s financial goals, the broker may focus on generating higher commissions.
Mandot Securities Excess Charges Complaints
The data reflects complaint records from the reporting platform and may not represent the company’s total customer base.
Summary table: Year, No. of active clients, No. of complaints, Complaints against excess charges
|
Year |
No. of Active Clients | No. of Complaints |
Complaints against Excess Charges |
|
2021-22 |
1352 | 1 | – |
|
2022-23 |
6564 | 14 | Around 3 |
| 2023-24 | 6564 | 46 |
Around 32 |
|
2024-25 |
5968 | 161 | Around 80 |
| 2025-26 | 3517 | 86 |
Around 62 |
In 2021–22, there were 1,352 active clients, and only 1 complaint was reported. There were no complaints related to excess charges during this year.
In 2022–23, the number of active clients increased to 6,564. During this period, 14 complaints were recorded, and around 3 of them were related to excess charges.
In 2023–24, the number of active clients remained the same at 6,564, but the total complaints increased to 46. Out of these, around 32 complaints were related to excess charges, showing a noticeable increase in such issues.
In 2024–25, the number of active clients slightly decreased to 5,968, but total complaints increased significantly to 161.
Among these, around 80 complaints were related to excess charges, which is a large portion of the complaints for that year.
In 2025–26, the number of active clients further decreased to 3,517, and total complaints also reduced to 86.
However, around 62 complaints were related to excess charges, meaning that most of the complaints during that year were about charging issues.
The table shows that while the number of clients changed over the years, complaints related to excess charges increased significantly after 2023–24 and formed a large share of the total complaints.
When Can It Be Considered Brokerage Churning?
You may suspect brokerage churning in situations such as:
- Unauthorized Trading– Trades are executed in your account without your permission or clear instructions.
- Excessive Trading Without Reason- Frequent buying and selling of stocks that do not match your investment strategy.
- Account Manipulation- The broker manages the account mainly to generate brokerage fees rather than to benefit your investments.
- Lack of Transparency- You are not properly informed about trades, charges, or the purpose behind the transactions.
How to File a Complaint Against a Stock broker Online?
If you believe there are excess charges or brokerage churning in your account, you should take some important steps to protect your investment and resolve the issue.
1. Review Your Contract Notes and Account Statements
Carefully check your contract notes, daily trade reports, and account statements. Look for unusual or frequent trades that you did not authorize.
This can help you identify whether excess brokerage charges have been applied.
2. Ask Your Broker for Clarification
Contact your broker and ask for a clear explanation of the trades and charges in your account.
A genuine broker should be able to explain why each trade was made and how the charges were calculated.
3. Maintain Proper Records
Keep copies of your contract notes, account statements, emails, messages, and any communication with the broker.
These records can serve as important evidence if you need to raise a complaint later.
If the issue remains unresolved after contacting the broker, investors can file a complaint in SCORES, which is SEBI’s official grievance redressal platform for securities market complaints.
You can also submit a complaint through the investor grievance systems of stock exchanges such as the National Stock Exchange of India or the Bombay Stock Exchange.
These exchanges review complaints related to trading members and may take action if any misconduct is found.
6. Arbitration Process
If the dispute remains unresolved after filing complaints with the broker, SEBI, or the exchange, investors may proceed with arbitration through Stock Exchange.
In this process, an independent arbitrator appointed by the exchange reviews the dispute and the evidence submitted by both the investor and the broker before giving a decision.
Need Help?
If you are facing issues with excess brokerage charges or suspect brokerage churning in your account, you do not have to deal with the situation alone. Register with us.
Our team can help you understand your rights and guide you on the best steps to take.
We can review your account statements, identify any irregular or unauthorized trades, and help you determine whether brokerage churning has occurred.
We also assist investors in preparing and filing complaints with authorities such as the Securities and Exchange Board of India (SEBI), as well as with exchanges like the National Stock Exchange of India and the Bombay Stock Exchange.
If needed, we can also support you through the arbitration process to help you seek a fair resolution.
Our goal is to help investors take the right action and protect their financial interests.
Conclusion
Excess charges in a trading account can significantly impact your investment returns.
Brokerage churning is an unfair practice where unnecessary trades are made mainly to generate commissions.
If you notice unusual activity or excessive charges in your Mandot Securities account, it is important to act quickly.
By reviewing your statements, asking questions, and approaching regulatory authorities if necessary, you can protect your investments and ensure fair treatment in the market.
