SEBI Warns about Forged Notices, Misuse of Its Letterhead and Official Identity

Moneylife Digital Team 06 June 2025

Investor Interest

Market regulator Securities and Exchange Board of India (SEBI) has warned the public against fraudulent communications falsely issued in its name, including forged notices and fake demands for payment.

In a release, SEBI says it received complaints about individuals circulating fake letters and notices using the regulator’s letterhead, logo and seal. In some cases, the communications were sent via social media, demanding fines to allegedly prevent SEBI action. Other instances involved forged sale certificates claiming ownership of PACL Ltd properties and fake documentation related to third-party vendor accounts.

“Members of the public are urged to exercise caution and verify the authenticity of any communication that appears to be from SEBI,” the regulator added.

While artificial intelligence (AI) and technology have made such fraud very easy, this is not the first time that SEBI's letterhead has been forged. Over 15 years ago, the market and the media world were rocked by reports of a forged letter, leaked by stock market operator Nirmal Kotecha, with regard to a company called Pyramid Saimira Ltd. It became a scandal because of the involvement of a couple of journalists and a SEBI insider. (Read: SEBI officially admits to its manager’s involvement in the Pyramid Saimira case) But more about it later.

SEBI’s caution notice issued today points out that all legitimate orders and recovery certificates issued by it carry unique reference numbers and are published on its official website (www.sebi.gov.in). Every order passed by SEBI bears a unique reference number and is available on the SEBI website under the path Home>Enforcement>Orders.

Every recovery certificate issued by SEBI is available on the SEBI website under the path Home>Enforcement>Recovery Proceedings.

Further, every official communication such as letter, notice, show-cause notice (SCN) and summons issued by SEBI bears a unique document identification number (UDIN). The UIDN can be verified from the SEBI website under the path Home>Authenticate Document Number Issued by SEBI.

The regulator also reminded investors that official correspondence is sent only through email addresses ending with ‘@sebi.gov.in’. A directory of authorised SEBI officials, including names, email IDs and contact numbers, is accessible on its website.

SEBI says the public should remain vigilant and avoid responding to any communication demanding money or personal information unless it has been verified through the regulator’s official channels.

Interestingly, SEBI’s previous investigation of 2008 into the Pyramid Saimira case began with a bang but ended in a whimper with the theatre company shutting down, leading to job losses and investors losing money. At that time, the forged letter from SEBI, addressed to PS Saminathan, chairman of Pyramid Saimira, asked the company to make an open offer for 20% of the floating stock at not less than Rs250 a share within 14 days, while the ruling market price was only Rs70 then. The trick to prop up the market price was allegedly orchestrated by Nirmal Kotecha, who was a co-promoter of the company, with the help of two journalists.

You may also want to read…

Pyramid Saimira: Finger points to SEBI Manager in forged letter case Forgery by SEBI Insider

Consent Orders: Compromised

SEBI is Repeatedly Refused Access to Phone Data

SEBI: Time for Introspection

Comments