Stock Market: $1 Investment Turns $328 Million for an Indian Investor

In a large banal marketplace development, an Indian capitalist made $328.6 cardinal with conscionable $1 from LS Industries. The investor, who is simply a non-resident Indian (NRI) surviving successful Dubai is accused of insider trading and marketplace manipulation. The Securities and Exchange Board of India (SEBI) has stepped successful and barred the capitalist and different entities progressive successful the fraudulent transaction.

Also Read: Top 3 Cryptocurrencies That Could Get ETFs Soon

Stock Market Scam: Several Entities Under the Radar

Source: Pixabay

LS Industries is simply a Himachal Pradesh-based institution with small to nary gross successful its equilibrium sheet. Despite having a antagonistic equilibrium sheet, NRI capitalist Jahangir Panikkaveettil Perumbarambathu (JPP) made $328.6 cardinal by investing a specified $1. SEBI’s interim bid shows that the NRI capitalist acquired 102.8 cardinal shares of LS Industries for conscionable $1. The firm’s promoters Profound Finance, and 4 different entities collided with the NRI to artificially pump its price. SEBI has present barred LS Industries from trading successful the banal market.

Also Read: Crypto.com Gets Regulatory Green Light for EEA-Wide Crypto Services

Source: Google

The NRI capitalist sold the LS Industries shares and wired the wealth from India to Dubai done the company’s promoters. This determination besides violates the Foreign Exchange Management Act (FEMA) which SEBI is pressing charges. The fraudulent enactment has travel arsenic a daze to banal marketplace investors arsenic entities planned a coordinated bogus trading pattern. The crackdown by SEBI volition marque regular banal marketplace investors of LS Industries funds frost with nary withdrawals allowed.

Also Read: How High Can Solana (SOL) Surge If An ETF Is Approved?

The SEBI report shows that JPP sold LS Industries shares astatine its highest of Rs 267.60 connected September 27, 2024. Its terms connected Wednesday, February 12, 2025, presently stands astatine Rs 61.34. It is down much than 4x and regular investors are present facing the brunt of the scam which they were ne'er progressive in. LS Industries volition nary longer commercialized successful the charts until an probe is complete. Reports authorities that SEBI mightiness barroom the institution from the banal marketplace entirely.