Updated 6 December 2025 at 17:05 IST
Pay Back Rs 604 Crore: SEBI's Action Against Pune Trader Avdhut Sathe Exposes Series Of 'Inflated' Trading Claims
In a major crackdown on unregulated financial advice, SEBI has issued a stern order barring Avadhut Sathe, his wife Gouri Avadhut Sathe and their company ASTAPL from any dealings in the securities market until further notice.
In a major crackdown on unregulated financial advice, India's market watchdog, the Securities and Exchange Board of India (SEBI), has clamped down on popular finfluencer Avadhut Sathe and his firm, Avadhut Sathe Trading Academy Private Limited (ASTAPL).
SEBI's Hammer Falls: Bars on Trading and Massive Fund Freeze
SEBI has issued a stern order barring Avadhut Sathe, his wife Gouri Avadhut Sathe and their company ASTAPL from any dealings in the securities market until further notice. The regulator also directed banks and depositories to freeze their accounts and ordered the creation of fixed deposits worth Rs 546.16 crore; the amount SEBI alleges was illegally gained.
The action stems from an investigation revealing that Sathe and his academy ran unregistered investment advisory and research services 'disguised as educational programs'.
According to SEBI, since starting in 2015, ASTAPL has raked in Rs 601.37 crore from over 337,000 participants. SEBI zeroed in on eight courses offered between January 2020 and October 2025, which alone collected Rs 546.16 crore.
Without proper registration as investment advisers or research analysts, which is a must under SEBI rules to safeguard investors, the setup was deemed a violation 'aimed at exploiting gullible traders'.
Inside the Operation: How Sathe Allegedly Lured Investors
According to SBI's detailed 125-page order, Avadhut Sathe's modus operandi revolved around blending education and investment nudges, all without the required oversight. Through ASTAPL, he hosted live trading sessions where he dished out direct stock recommendations, including exact stop-loss levels and target prices during market hours.
Beyond the courses, Sathe purportedly ran paid WhatsApp groups like "ASTA: VOW," charging around Rs 30,000 annually for what he called "chart studies" but SEBI labelled as outright trade signals.
Fees for the programs ranged from Rs 500 for introductory sessions to Rs 6,75,000 for the flagship 'Mentorship' course.
Even promotional tactics included a video featuring a 12-year-old child touting how easy trading becomes post-training.
SEBI had issued an administrative warning in March 2024 against such misrepresentations, but the academy allegedly persisted with selective showcases of "winning" trades, ignoring the full picture.
Promises vs. Performance: SEBI Uncovers a Chasm of Losses
SEBI's probe laid bare a glaring disconnect between Sathe's bold claims of "extraordinary profits" and the harsh reality reflected in trading accounts. While the academy positioned itself as a gateway to market mastery, the numbers told a different story.
Sathe and ASTAPL themselves clocked cumulative losses exceeding Rs 6 crore in their own trades over recent years, Rs 4.31 crore for Sathe personally and Rs 1.89 crore for the company in the financial years 2024-25 and up to November 30, 2025, in 2025-26.- SEBI Report.
This irony wasn't lost on SEBI: How could self-proclaimed experts promising supernormal returns be bleeding red in their portfolios? Extending the scrutiny to course participants, the regulator analysed 186 individuals from the Mentorship program over a six-month post-course period. The findings? A net loss of Rs 1.93 crore across the group, with 65% (121 participants) ending up in the loss.
Illustration of Testimonials and Inflated Success Stories
At the core of SEBI's case lies a web of testimonials and videos that painted an unrealistically rosy picture, luring more enrollees into the fold.
ASTAPL routinely spotlighted "success stories" claiming participants racked up "supernormal profits" through their methods, but stock exchange records exposed these as fabrications.
Take Ms. Lakshmi Sreenivasan, a homemaker featured in promotions boasting a Rs 1 crore profit from Bank Nifty options trading over 2.5 years (December 2020 to March 2023). Reality check: Her actual gains were a modest Rs 4.17 lakh.
Similarly, Mr. Rehan Hashmuddin Shaikh was paraded as having turned trading profits into a new bike purchase worth Rs 2.5 lakh (August 2023 to May 2024), but he actually lost Rs 13,256.85.
Other cases followed suit. Ex-banker Ms. Smruti Ameya Apte was said to be out-earning her salary consistently via the academy's strategies, while Mr. Akash Ratnakar Warpe claimed to have ballooned Rs 1.8 lakh into Rs 45 lakh with monthly hauls of Rs 4-5 lakh.
SEBI's forensic review debunked these, revealing the testimonials as exaggerated or outright false. Ms. Smruti Apte actually incurred a loss of Rs 1,38,244.37 and Mr. Akash Warpe actually incurred a loss of Rs 5,58,444.43, crafted to 'manipulate perceptions' and boost course enrolments.
Even after the 2024 warning, the misleading content continued. Pavithra Anjana Nayaka was said to be earning consistent monthly profits and claimed to have 2X capital growth in 6 months (September 2024 to March 2025). However, SEBI observed that Nayaka actually incurred a loss of Rs 3,05,704.40 during the period.
Published By : Tuhin Patel
Published On: 6 December 2025 at 17:05 IST