Zee Business alerts investors to not fall into the trap of quick returns at low costs

2024-11-01 01:59:36 News & Society

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Many among us firmly believe in Investing as compared to Savings. Investing or trading in the stock market has gained popularity over the years. One of the major benefits of investing in the stock market is that investors get the chance to earn more money. However, with a large number of people investing in the Indian stock market, there has also been an increase in illegal activities such as Dabba trading or bucket trading.

As Dabba trading is an illegal stock market trading method, one such fraudulent case has come to light. Jatin Mehta, the businessman who was involved in dabba trading was arrested by the Mumbai Police. According to the police, between the timeline of March to June 20, 2023, his business turnover of about 4673 crores resulted in the government suffering a huge loss of Rs 1.95 crore. This highlights the fact that there could be a huge number of traders who might be trapped by luring huge returns and have to bear huge losses. Zee Business alerted investors to stay cautious from fraudulent dabba trading brokers and spread awareness on the risks involved in such kind of trading through its special episode on \'Dabba Trading ka Mayajal\'.

The channel also simplified the meaning of the jargon \'Dabba Trading\' and ensured each and every investor understands why such type of trading is considered as illegal:

What is Dabba Trading? Dabba trading is an illegal method of trading in stocks of companies in the stock market. Individuals undertaking such deals in the stock market are unauthorized, as they aren\'t registered with the market regulator SEBI.

How does Dabba Trading operate? In dabba trading, the trading ring operators get the equity traded in an illegal manner outside the stock exchange platform. They create an app and lure investors into the greed of receiving fixed returns. People think that they are investing money in the stock market but in reality, it is a fraud.

Why do some brokers do Dabba trading? The sole purpose of Dabba trading brokers is to save themselves from the liability of income tax, GST and all kinds of taxes in the market. Fake brokers lure gullible traders into their trap by luring them. If traders suffer losses, they will get money, but if traders make profit, they will not give money to them.

Anil Singhvi, Managing Editor, Zee Business, also tweeted alerting netizens and investors not to fall in the trap of quick returns at low cost.

Speaking on Zee Business\' successful campaign for protecting investors, Anil Singhvi, Managing Editor, Zee Business, said, \"The trend of investing money in the stock markets significantly increased in the recent past. It is our responsibility to help investors understand the dangers of getting involved in illegal activities. Zee Business has been the most reliable news source for investors to understand what will assure investors maximize profit and wealth. Zee Business provides in-depth research of every corner of the market\'s ups & downs, which has allowed us to become one of the most revolutionized business news sources for investors, through informative content and programming that accentuates the business acumen.\"

Madhu Soman, Chief Business Officer of Zee Business further added \"Zee Business always strives to make citizens aware and avoid fraudulent practices that prevail in emerging markets. Dabba Trading ka Mayajal is one of the many initiatives we\'ve rolled out along with interesting news stories through an investigative lens.\"

Zee Media Corporation Ltd, one of India\'s leading media companies, has a strong presence in the news and regional genres, with 16 news channels in seven different languages, reaching more than 528+ million viewers through its linear and digital properties