SEBI asks MFs, AMFIs to act against frauds who use social media to mislead investors

SEBI has asked AMFI and fund houses to take strict action against people who use social media to mislead investors in the name of mutual funds. 

This has come after SEBI found at least 9 group on Telegram (a WhatsApp like social media messenger app) which mislead people by broadcasting dubious messages about mutual funds and misuse the name of mutual funds to lure investors.

The market regulator has asked AMFI to lodge FIR against such fraudsters. 

Further, SEBI has urged MFDs, RIAs and stock brokers to practice due diligence to protect their clients from such wrongdoers and take prompt action against them.