Investors have lost crores of rupees due to the dismissal of Karvy Stock Broking Company Limited (KBCL) licence.
In November 2019, market regulator SEBI had stopped the transaction after Karvy was charged with pledging over Rs 2,300 crore worth of shares of 95,000 customers to lenders for 600 crore rupees. Karvy is now blacklisted. Karvy transferred a large number of investors' shares to another company.
Even then, shares and cash of crores of rupees from thousands of investors could not be returned. On 23 November, the National Stock Exchange (NSE) SEBI has cancelled the license. Investors are making claims in the Investor Protection
Fund through the National Securities Depository Limited (NSDL).