Over 1 lakh misleading messages flagged and removed from social media: Sebi chair Tuhin Kanta Pandey at CNBC TV-18 Global Leadership Summit

SEBI to soon form a working group to review short-selling and SLBM mechanism, says SEBI Chairman Tuhin Kanta Pandey

Under Sebi’s “Sebi versus Scam” initiative, the market regulator has sharply intensified its fight against digital financial fraud, flagging more than one lakh misleading messages and posts for removal across social media platforms. The initiative, announced as part of a broader push to safeguard retail investors, reflects the growing threat of fake trading apps, cloned websites, unrealistic return claims, and unregistered advisory entities targeting the public.

SEBI chair Tuhin Kanta Pandey, speaking at CNBC-TV18’s Global Leadership Summit, highlighted that unregulated financial influencers have emerged as a major risk, with Sebi’s recent survey showing that 62 percent of investors rely on influencer recommendations when making investment decisions. He stressed that investor protection begins with investor education especially in an environment where deceptive content spreads rapidly.

To counter this, the “Sebi versus Scam” campaign focuses on proactive surveillance and public awareness. Sebi has stepped up monitoring of social media platforms, escalated misleading content for takedown, and directed stock exchanges to publish regularly updated whitelists of genuine broker apps. The regulator has also introduced new verification tools such as Valid UPI and Sebi Check enabling investors to easily authenticate the bank accounts and QR codes associated with registered intermediaries. Pandey described these as critical defenses against sophisticated cyber fraud.

Sebi’s nationwide investor survey also revealed that while 22 percent of financially aware non-investors intend to enter the market in the next year, and 36 percent of existing investors possess moderate or high market knowledge, awareness remains uneven. Urban participation stands at 15 percent, compared with just 6 percent in rural areas. Meanwhile, 37 percent of respondents are unfamiliar with securities market products, and 27 percent of non-investors say they do not know how to begin investing.

Pandey noted that Sebi’s challenge is twofold. It is about not only bridging the gap between awareness and actual participation, and building trust among potential investors who remain deterred by perceived complexity and risk. To address this, Sebi plans to broaden its education campaigns through digital media, multimedia content, physical outreach, and communication in multiple regional languages.