Investing in the Indian stock market is an excellent opportunity for NRIs, but it also comes with risks, including fraud and disputes. Cases of unauthorised trading, share transfer issues, and financial misconduct are becoming more common, leaving NRIs in distress. If you have faced any such issue, it is crucial to know how to file a Share Market Fraud Complaint and take the right steps to safeguard your investments.

Common Share Market Fraud Issues Faced by NRIs

NRIs often encounter the following fraudulent activities in the Indian stock market:

1. Unauthorised Trading – Brokers or agents execute transactions in your account without your consent, leading to unexpected losses.
2. Share Transfer Issues – Delays, discrepancies, or wrongful transfers of shares can create serious financial and legal problems.
3. Pump-and-Dump Schemes – Fraudsters artificially inflate stock prices to attract investors before selling off their holdings, causing a market crash.
4. Fake Investment Advisories – Scammers pose as advisors and mislead investors into making high-risk investments.
5. Margin Trading Frauds – Unauthorized use of margin accounts, where brokers misuse an investor’s funds to trade.

How to File a Share Market Fraud Complaint?

If you are an NRI facing any issues such as unauthorised trading, share transfer issues, or other frauds, follow these steps to file a Share Market Fraud Complaint:

Step 1: Contact Your Broker or Financial Institution

• Immediately report the fraud to your stockbroker or depository participant.

• Request transaction details and demand an explanation for unauthorized activities.

• Keep all email conversations and call recordings as proof.

Step 2: Lodge a Complaint with the Stock Exchange

• If your broker does not respond, escalate the issue to the relevant stock exchange (NSE/BSE).

• Submit an online complaint through the Investor Grievance Redressal Mechanism of the respective exchange.

Step 3: Report to SEBI (Securities and Exchange Board of India)

• If your issue remains unresolved, file a complaint with SEBI via its SCORES (SEBI Complaints Redress System) platform.

• Register your complaint with all supporting documents.

Step 4: Approach the Banking Ombudsman (If Required)

• If fraud involves bank transactions, file a complaint with the Banking Ombudsman under RBI guidelines.

Step 5: File a Legal Complaint

• If necessary, take legal action by filing a case with the Economic Offences Wing (EOW) or Consumer Forum.

• Consulting a legal expert can help in recovering your funds.

How to Prevent Share Market Frauds?

To minimize risks, NRIs should follow these preventive measures:

• Monitor Trading Accounts Regularly – Keep an eye on transactions to detect any unauthorised trading early.

• Use Secure Trading Platforms – Ensure that your stockbroker and trading portal are SEBI-registered.

• Enable Two-Factor Authentication (2FA) – Add an extra security layer to prevent unauthorized access.

• Avoid Sharing Login Credentials – Never share your trading account details with anyone, even trusted agents.

•  Verify Share Transfers – Regularly check your Demat account to avoid share transfer issues.

How India for NRI Helps NRIs Resolve Share Market Fraud Complaints

If you are an NRI struggling with share transfer issues, unauthorised trading, or need assistance in filing a Share Market Fraud Complaint, India for NRI can help:

• Expert Legal Assistance – Get professional help in filing complaints with SEBI, stock exchanges, and law enforcement.
• Banking & Financial Dispute Resolution – Assistance in resolving disputes related to NRI trading accounts and transactions.
• Regulatory Guidance – Support in navigating SEBI, RBI, and other financial regulatory frameworks.
• Documentation & Representation – Help in preparing necessary documents and representing NRIs in India.

Conclusion

Falling victim to stock market fraud can be financially devastating, but timely action can help NRIs recover their investments. By understanding the complaint process, preventing unauthorised trading, and addressing share transfer issues effectively, NRIs can protect their assets. India for NRI offers expert support in resolving fraud-related complaints, ensuring NRIs receive justice and financial security.

Also Read: Can NRIs Invest in Mutual Funds Online? Everything You Need to Know?