The Securities and Exchange Board of India on Thursday barred financial influencer Avadhut Sathe and his firm Avadhut Sathe Trading Academy Pvt Ltd from the securities market and ordered them to disgorge Rs 546.16 crore of unlawful gain allegedly earned from unregistered investment advisory and research analyst activities.
Avadhut Sathe Trading Academy Pvt Ltd, operated by Sathe, was found to have collected funds without the requisite Sebi registration.
In a 125-page interim order cum show cause notice, Sebi said, "Investigation has revealed that, prima facie, the funds were collected in the accounts of ASTAPL and AS."
The regulator noted that Gouri Avadhut Sathe was involved in the day to day affairs of the company and was not found to be providing any investment advisory or research analyst services to course participants.
According to Sebi, Sathe devised a scheme in which course participants were lured to trade in specific stocks.
Recommendations to buy or sell securities were provided by him for a consideration under the pretext of imparting education.
"...so far as impounding of the proceeds to the tune of Rs 5,46,16,65,367/- is concerned, ASTAPL and AS are jointly and severally liable for the same," Sebi's whole-time member Kamlesh Chandra Varshney said in the order.
Sebi said, "It is clear that none of noticees (ASTAPL and AS) are registered with Sebi as investment advisor or research analyst. However, despite being not registered, noticees have been providing investment advisory and research analyst services under the guise of their stock market training programs to a large number of investors."
The regulator observed that Rs 601.37 crore had been collected from more than 3.37 lakh investors while misleading, soliciting and inducing them to deal in securities on the basis of advice and analysis issued without mandatory registration.
The order directed ASTAPL and Sathe to cease and desist from offering unregistered investment advisory and research analyst services and from holding themselves out as investment advisors or research analysts.
Sebi also instructed that they should not use live data for any purpose and should not advertise their own performance or that of course participants or investors.
Sebi said, "It is necessary to take urgent preventive action in this matter to prevent ASTAPL/AS from misleading the public or influencing investors to deal in securities, collecting fees from the public, and engaging in unregistered investment advisory and research analyst activities."
The interim order cum show cause notice was issued to ensure the cessation of such conduct.
Sebi examined activities of the company and its founder for FY-2023 to 2024 and found that Sathe and his academy selectively showcased profitable trades of participants and promoted training programmes with claims that attendees consistently generated high returns from stock trading.
A detailed investigation was subsequently conducted for the period 1 July, 2017 to 9 October, 2025.