On May 30, 2025, the Securities and
Exchange Board of India (SEBI) issued a decisive order barring Bollywood actor
Arshad Warsi, his spouse Maria Goretti, and 57 others from participating in the
stock markets for a period ranging from one to five years. The action comes in
response to a deceptive stock promotion scheme involving Sadhna Broadcast Ltd,
now known as Crystal Business System Ltd.
The capital markets watchdog penalized Arshad and Maria with a fine of ₹5 lakh
each. Their market participation was suspended for one year. A broader set of
57 individuals and companies, including the company’s promoters, faced fines
ranging from ₹5 lakh to ₹5 crore.
According to SEBI’s comprehensive 109-page final report, these entities were
involved in a pump-and-dump scheme. Arshad reportedly gained ₹41.70 lakh, while
Maria earned ₹50.35 lakh through the fraudulent trades.
The operation was led by Gaurav Gupta, Rakesh Kumar Gupta, and Manish Mishra,
with Subhash Aggarwal, a director at the registrar and transfer agent of Sadhna
Broadcast, serving as the liaison between Mishra and the promoters.
Others involved included Peeyush Agarwal, a dealer at Choice Broking, and
Lokesh Shah, a Delhi-based franchise owner, who allegedly enabled the usage of
their accounts for manipulative purposes. Jatin Shah was identified as a key
executor of the fraud.
SEBI found that the fraudulent activity unfolded in two phases. Initially,
interconnected and promoter-linked accounts conducted internal trades to
artificially inflate stock prices. Despite small volumes, the illiquid nature
of the stock allowed for price manipulation with minimal trades.
In the second stage, misleading investment videos were posted on YouTube
channels such as Moneywise, The Advisor, and Profit Yatra, run by Manish
Mishra. These videos falsely promoted SBL as a lucrative investment, syncing
with the inflated market activity to lure retail investors.
SEBI has directed all 59 entities to return illegal gains worth ₹58.01 crore,
along with 12% annual interest. However, Varun Media Pvt Ltd, a promoter firm
undergoing insolvency, has been spared from a fine but must still return the
profits earned.
This action followed complaints received between July and September 2022,
leading to SEBI’s investigation of suspicious trading activities from March 8
to November 30, 2022. An interim order had already been issued on March 2,
2023, targeting 31 of the entities involved.