Kathmandu. Sebi has taken steps in the interest of investors as the number of fake brokers is increasing in the Indian stock market.
Sebi has made a new Integrated Payment Interface (UPI) payment system mandatory to prevent fraudulent activities by unregistered brokers that mislead investors. This will be a new and secure method of payment.
In this, a special UPI ID will be issued to brokers registered with SEBI to receive payments from investors. With the help of the new system, investors will be able to identify trusted entities and registered brokers.
The new UPI payment system will come into effect from October 1. Sebi Chief Tuhin Kant Pandey said, “This innovative mechanism will strengthen the security of financial transactions within the stock market by providing certified and secure payment channels.” ’
In ‘SEBI Check’, investors will be able to know whether it is correct by scanning the QR code or entering the UPI UPIID manually or entering the account number and IFSC code of the registered broker. This means that investors will know that they are sending money to the right and registered companies, not to the fraudsters.
When investors send money to brokers registered through UPI, a green ‘thumbs up’ sign will appear. If this sign is not visible, then the broker will probably not be correct.
Sebi has set an upper limit of up to Rs 5 00,000 per day for up to Rs 500,000 per day for upi share transactions. Which can be reviewed from time to time in consultation with NPCI.
Sebi first introduced UPI as a payment method in the market in 2019. At present, up to Rs 2 00,000 can be paid in a day in the stock market through UPI.
