The Ministry of Finance has informed Parliament that the Securities and Exchange Board of India (SEBI) has escalated a total of 1,33,000 (1.33 lakh) misleading/manipulative social media contents related to securities to the concerned social media platform providers (SMPPs).
The response was given by the ministry to questions raised by MPs Vijay Vasanth and Suresh Kumar Shetka on the steps taken by the government regarding the rising misuse of social media platforms by unregistered financial influencers to mislead investors.
The government said that these 1,33,000 misleading/manipulative social media contents were recorded as of February 2026.
“SEBI is currently not using any AI tools to track misleading securities-related content across digital platforms. To enhance transparency, investor protection, and strengthen the conduct of SEBI-regulated entities, SEBI requires regulated entities and their agents to prominently display their registered name and registration number on social media profiles and in all securities-related content. This helps investors verify authenticity and distinguish them from unregistered entities,” the ministry added.
When asked whether investors have suffered financial losses due to impersonation of registered entities on social media platforms, and about details of compensation or grievance redressal mechanisms, the ministry said that no such data is available with SEBI.
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“Further, with regard to SEBI’s grievance redressal mechanisms, all complaints received by SEBI pertaining to the securities market are handled through SCORES, an online platform that enables investors to lodge, follow up, and track the status of their complaints. SEBI coordinates with Social Media Platform Providers (SMPPs) to mitigate risks arising from investment advice disseminated by unregistered ‘finfluencers’ through posts and videos that violate SEBI regulations. These actions are undertaken in accordance with the applicable regulatory framework, and appropriate enforcement measures are initiated where necessary,” the ministry added.
First Published: Mar 23, 2026 3:22 PM IST