Deepankar Barman, the owner of DB Stock broking, is embroiled in a major fraud scandal involving deceptive financial practices and violations of Securities and Exchange Board of India (SEBI) regulations. Barman is accused of orchestrating a significant scam, where he allegedly collected funds from investors by promising unrealistically high returns from investments in real estate and options trading.

According to a veteran stock market influencer, Barman's scheme involved offering guaranteed returns of up to 120% within one year and 60% returns over six months. Such assurances violate SEBI rules, which prohibit guarantees of specific returns in the stock market. Barman's fraudulent activities were conducted through his brokerage, DB Stock, utilizing the platform of Angle One, a stock broking company based in Guwahati.

Investigations reveal that Barman did not fully invest the collected funds in the stock market as claimed. Instead, he reportedly diverted a portion of the money into real estate ventures and partnerships with builders, exacerbating the situation. This misallocation of funds, coupled with false promises, has resulted in significant financial losses for numerous investors, including doctors and senior citizens.

The scam was further facilitated by promotional activities involving local YouTubers and an investor meet featuring Aman Gupta, co-founder of BoAt, which gave the operation an illusion of legitimacy. Despite these efforts, many victims are struggling to recover their investments, facing challenges in legal recourse due to insufficient documentation.

Additionally, a case involving Bishal Phukan from Upper Assam has emerged, with accusations of similar fraudulent practices. Phukan reportedly offered notarized agreements promising guaranteed returns of 30%, which experts argue should not be considered legally binding.

This situation highlights the critical need for stringent verification processes for financial advisors and underscores deficiencies in legal frameworks addressing such scams. Investors are advised to exercise extreme caution and thoroughly verify the credibility of financial advisors before committing their money.

Another veteran market influencer from Guwahati has indicated that similar fraudulent activities are also occurring in Nagaon and Jorhat, though on a smaller scale. He cautioned that scams involving promises of high returns, such as 8% monthly, are typically indicative of fraudulent schemes. He emphasized that such returns are unrealistic and urged investors to be wary of brokers who offer returns beyond what is possible in legitimate business practices.

"The scam is not as big as DB Stock broking," the influencer told Pratidin Time. "However, it ranges between 500 to 2.5 crore. Investors must be aware of their investments. If someone promises you 8% returns per month, it equals approximately 80% to 85% annually, which is not feasible. These are not brokers but fake entities without proper registration. Their modus operandi involves returning the initial amount to the investor, creating a false sense of security, and encouraging further investment. It is essential for people to understand that these schemes prey on greed, and the government is not responsible for such losses," he added.

For further updates, stay tuned.