Stressing on an urgent need to spread financial awareness among the people, markets regulator Sebi Chairman UK Sinha on Saturday said agents of various money-pooling firms were defrauding the investors and were earning huge pay-outs.
“Financial awareness is a must to protect investors from frauds in the markets,” Sinha said here at an event organised to mark the centennial celebrations of BHU and the 75 years of the Faculty of Commerce in this central university. He also suggested setting up of an investor education centre at BHU.
“Agents of the money-pooling companies mislead the investors and earn huge commissions from the money invested by the public, which is a fraud on the investors,” Sinha said, while adding that necessary regulations have been made to check this menace at the ground level and 20 states have implemented the same. Besides, Sebi is providing free consultation to investors through phone calls in 14 languages on 24-hour basis, for the grievances.
“In the last six years, six lakh people have benefitted from this service,” Sinha said, while adding that the capital markets regulator has been able to achieve 7th position globally in terms of investor protection.