The Securities and Exchange Board of India has issued an advisory requiring SEBI-registered intermediaries to undergo advertiser verification before uploading or publishing advertisements on social media platforms, following a rise in securities market frauds conducted through digital channels. For platforms covered initially, intermediaries must register with Social Media Platform Providers (SMPPs) using the email ID and mobile number recorded on the SEBI SI Portal. Google and Meta are the first SMPPs included, and only verified intermediaries will be permitted to post advertisements on these platforms. SEBI flagged fraud patterns including inducements tied to online trading courses and seminars, misleading testimonials, and promises or guarantees of assured or risk-free returns across platforms such as YouTube, Facebook, Instagram, WhatsApp, X, Telegram, and app stores. Intermediaries seeking to advertise on Google and Meta are advised to update their email and mobile contact details in the SEBI SI Portal intermediary database by 30 April 2025.
Securities & Exchange Board of India 2025-03-21
Securities and Exchange Board of India mandates social media advertiser verification for SEBI-registered intermediaries and sets 30 April 2025 deadline to update SEBI SI Portal contact details
The Securities and Exchange Board of India (SEBI) mandates SEBI-registered intermediaries to verify advertisers before posting on social media, addressing rising securities market frauds via digital channels. Initially, intermediaries must register with Google and Meta using details from the SEBI SI Portal. SEBI highlights fraud patterns involving misleading trading course promotions and false guarantees on platforms like YouTube and Facebook.