Notification/Circular No.: PR No. 32/2026 dated June 17, 2026
Applicable Act/Rule: Securities and Exchange Board of India Act, 1992
SEBI has noted that certain electronic platforms and/or websites are facilitating transactions/trading in unlisted securities of public limited companies. SEBI had previously issued Press Releases dated December 09, 2024 and August 30, 2016 on the subject of transactions on such platforms. SEBI has also previously issued Press Releases on unauthorised virtual trading platforms offering virtual trading/paper trading/fantasy games, and on unregistered online platforms offering unlisted debt securities.
Press release reiterates that the electronic platforms facilitating such transactions are neither authorized nor recognized by SEBI, and that only recognized stock exchanges are authorized to provide a platform for fund raising and trading in securities. Investors are cautioned against conducting any transactions/trading on such platforms or sharing any sensitive personal details on them. The press release further states that for any disputes relating to participation on such platforms, none of the following recourses will be available to investors: benefits of investor protection under SEBI/Exchange(s) jurisdiction; investor grievance redressal mechanism administered by Exchange(s); or the online dispute resolution mechanism administered by Exchanges/Depositories (smartodr.in).
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