Imagine paying ₹1.75 lakh to an investment advisor who promises you ₹5 lakh profits in just four months.
At first, you see small gains—a few thousand here and there—just enough to build trust. Then suddenly, your portfolio starts bleeding. \
You call the advisor, but the phone is switched off. Emails go unanswered. Your money? Gone.
This isn’t a hypothetical story. This is exactly what happened to a retail investor who trusted Shilpa Garg, a SEBI registered advisor (Highlight Investment Research – INA000007094).
What Really Happened?
Back in 2019, the investor began paying fees to Highlight Investment Research. Over time, he transferred more than ₹1.18 lakh as advisory charges. In return, the firm promised him:
- Assured returns claiming a 30k investment can bring 24 lakh turnover with 50k profit in the Portfolio.
- Guaranteed a Profit of 5 Lakh post paying 1.75 Lakh fee
- Claims of 80% to 90% accuracy
- Handled the demat account and booked a 50k loss
On paper, it sounded like a golden ticket. In reality, it was nothing more than a scam dressed up as financial advice.
When losses piled up, the advisor vanished. Calls went unanswered, accounts were shut down, and the investor was left helpless—until he decided to file a complaint on SEBI’s SCORES platform.
Besides this, she did not even renew her IA license post Feb 2022
SEBI Steps In
Once SEBI reviewed the evidence, bank statements, call recordings, and KYC documents, it was clear that Shilpa Garg had crossed several red lines:
- False promises of assured returns – a direct violation of SEBI’s fraud and unfair trade regulations.
- Failure to address investor complaints – ignoring multiple notices on the SCORES system.
- Non-compliance with BASL membership – a mandatory requirement for all investment advisors since 2021.
To make matters worse, the firm didn’t even bother responding to SEBI’s show-cause notices or appearing for hearings. By staying silent, they only confirmed their guilt.
On September 12, 2025, SEBI delivered its verdict:
- Registration cancelled with immediate effect
- Firm barred from offering advisory services
- Mandatory disclosure of cancellation on their website
SEBI’s Findings
To truly understand how Highlight Investment Research misled investors, SEBI looks at what their representatives actually said over calls.
These call recordings reveal a pattern of false promises, inducement, and misleading guarantees—all of which are strictly prohibited under SEBI regulations.
1. Inducing Investors with “Single Call” Strategy
“Single call pe kaam karke yadi apan accha profit nikal sakte hai… toh jaha apan 4 time risk le rahe the wi one time risk rahega aur profit use jyada his earn kar sakte hain…”
Violation: Inducement by claiming that fewer trades mean less risk and higher profits, without explaining actual market risks.
2. Guaranteed Accuracy Claims
“Personally aap mere saath agar working kar rahe hain to apko 80%-90% accuracy easily mil jaegi…”
Violation: Promise of guaranteed returns/accuracy, which is explicitly banned under SEBI’s advisory regulations.
3. Misrepresentation of “Minimum Profits”
“…minimum criteria leke chale ki mene apko bta diya ki minimum itta nikal jaega to maximum kuch bhi ho skta hai…”
Violation: Misrepresentation — setting false expectations of minimum profits when no advisor can guarantee such outcomes.
4. Manipulative Risk/Reward Projection
“…market ki condition kharab rahi to apn jo chah rahe hai vo profit nahi nikal pata hai… lekin 10 call pe hi profit mila 10000 rupee profit ka ratio decide karke rakha to mujhe 100000 rupee ka profit hua…”
Violation: Misleading financial projections — showing hypothetical profit/loss calculations as if they were guaranteed outcomes.
5. Unrealistic Turnover Promises
“…30 thousand ka investment karte hain toh apna daily ka 24 lac ka turnover hoga… 3 month mein Jo apna turn over hoga wo 15 Crore ka turnover hoga.”
Violation: Fraudulent claim of massive turnover from small capital. This creates false hopes and induces clients to invest more money.
Why These Violations Matter
Every one of the above statements falls under prohibited practices:
- Inducement: Luring investors with false hopes.
- Guarantee of Profits: Illegal under SEBI’s IA regulations.
- Misrepresentation: Creating misleading expectations.
- Unrealistic Projections: Manipulating clients into paying high fees.
These tactics not only break trust but also constitute fraud, leading SEBI to cancel Highlight Investment Research’s registration.
What Retail Traders Can Learn?
This case isn’t just about one rogue advisor—it’s a cautionary tale for every retail trader in India. Here’s why:
- “Assured returns” are always a trap.
No advisor, however skilled, can guarantee profits in the stock market. If someone does, walk away. - Silence is a red flag.
An advisor who dodges your calls or ignores complaints is not protecting your money—they’re protecting their own. - Compliance matters.
BASL membership and SEBI registration aren’t just formalities. They’re safeguards designed to protect you. If your advisor doesn’t have them, it’s a warning sign.
How to Protect Yourself as a Retail Investor
- Verify before you trust: Always check SEBI’s website to confirm if an advisor is registered and BASL-compliant.
- Be skeptical of big promises: If returns sound too good to be true, they probably are.
- Document everything: Keep records of payments, contracts, and communication. They’re your evidence if things go wrong.
- Know your rights: Use SCORES to escalate complaints if your advisor ignores you.
- Pay wisely: Avoid huge upfront fees. Legitimate advisors charge transparently and within SEBI’s guidelines.
- Report Immediately: In case your advisor promises assured returns, avoids your calls when losses occur, or refuses to address complaints on SEBI’s SCORES portal.
Need Help?
If you have been trapped or lost money because of a SEBI-registered Research Analyst (RA) or Investment Adviser (IA), register with us today.
Our team will guide you through the entire complaint process and, if required, also represent your case in arbitration to help you recover your losses.
Conclusion
The Highlight Investment Research case shows how easily retail investors can be lured by flashy promises—and how costly those promises can be. SEBI’s strong action sends a message: the market regulator will not tolerate fraud.
But here’s the bigger takeaway for you as an investor: don’t hand over your financial future to anyone who sells you dreams of guaranteed profits.
Your money deserves better. Do your homework, ask questions, and stay alert. Because in trading and investing, awareness is your first and strongest line of defense.
