How Baap of Chart conned investors: An explainer
Scores of investors noticed him on YouTube where he made tall promises of assured returns – sometimes as big as ₹10 crore by investing only ₹one lakh, or a video on ‘how he himself made ₹2 crore in one day’, so on and so forth.
When his wild claims were not enough to impress some investors, his enviable fan base of over 400K on YouTube was enough to lend credibility to his tall claims.
While the man continued to roll, his party just got over with the market regulator cracking down heavily with a heavy hand.
Not only has he now been banned from trading in the securities markets, the gains he made to the tune of ₹17 crore have been impounded and put in an escrow account.
Let us understand how he fleeced investors that drew the attention of markets regulator:
Under the name of Baap of Chart (BoC), Nasir Ansari was fleecing investors in the garb of providing educational training related to the securities market by promising them guaranteed returns.
He was providing investment advisory services without any Sebi registration through social media, thus violating the provisions of Sebi Regulations 2013.
The action was taken for his videos posted during the period between Jan 1, 2021- July 7, 2023, reads the report submitted by Ananth Narayan G. a whole time member of Sebi.
The regulator observed that Nasir promotes himself as a stock market expert on a number of social media platforms and lured investors to enrol for various educational courses offered by him and recommends them to invest in the securities market and earn profit.
He uploaded educational courses on apps/ portal through the services provided by ‘Bunch’ wherein he was collecting money for enrolment in the said courses, and provided access to classes to investors.
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