Avdhut Sathe Trading Academy Scam: SEBI Directs ₹546 Cr Disgorgement, 2-Year Market Ban & Full Investor Refund
How the self-proclaimed trading guru trapped 50,000+ retail students with fake mentorship claims, and SEBI's landmark ₹546.17 Crore refund & disgorgement order.
Avdhut Sathe on stage addressing a seminar of retail investors. SEBI found his academy guilty of running an unregistered advisory racket under the garb of education.
Core Investigation Takeaways & Order Highlights
In one of the most decisive regulatory crackdowns in Indian capital market history, the Securities and Exchange Board of India (SEBI) has delivered a devastating final order against Avadhut Sathe and his commercial enterprise, Avadhut Sathe Trading Academy Private Limited (ASTAPL).
The capital market regulator found ASTAPL, founder Avadhut Sathe, and director Gouri Avadhut Sathe guilty of operating an extensive unregistered investment advisory and research analyst network under the guise of stock trading education.
The order mandates that the academy and its promoters refund a staggering ₹546.17 Crore collected from tens of thousands of retail students, working professionals, housewives, and retirees who enrolled in programs including the 'Eye Opener' sessions, 'GEO' workshops, and high-ticket mentorship retreats.
Inside a packed ASTA mega-seminar. Thousands paid ₹50,000 to ₹3.5 Lakh for 'Eye-Opener' and live mentorship sessions where specific intraday trading calls were broadcast.
In addition to the primary refund directive, SEBI ordered the payment of ₹67.87 Crore in interest calculated at 12% per annum, directed toward the Investor Protection and Education Fund (IPEF). Furthermore, SEBI slapped a collective penalty of ₹11.5 Crore on the entities—comprising ₹6 Crore on ASTAPL, ₹4 Crore on Avadhut Sathe, and ₹1.5 Crore on Gouri Sathe.
SEBI's extensive forensic investigation revealed that while ASTA marketed itself purely as a financial educator, the academy routinely crossed into unlawful territory. During webinars, live trading rooms, and exclusive WhatsApp channels, specific stocks were highlighted with explicit entry prices, stop losses, and target levels.
SEBI Chief Legal Officers affirmed that giving specific buy/sell recommendations or price forecasts constitutes investment advice under the SEBI (Investment Advisers) Regulations, 2013, regardless of disclaimers that the sessions are 'for educational purposes only.'
The regulator also highlighted that ASTA aggressively showcased selective winning trades and exaggerated student testimonials while concealing the widespread capital losses suffered by retail option buyers. Even after receiving multiple administrative warnings from SEBI, ASTA continued to collect hundreds of crores from the public.
Under the order, Avadhut Sathe and the academy have been barred from accessing the securities market for a minimum period of two years, or until all refunds are completed, whichever is later. The academy must issue public notices across leading national and regional newspapers within 30 days detailing the refund process.
The final SEBI ruling directs complete refund of ₹546.17 Crore plus ₹67.87 Crore interest to student investors within 5 months.
How Affected Students & Victims Can File for Full Fee Refund
Under the SEBI recovery order, all fees paid for unregistered mentorship, live rooms, or high-tier programs are eligible for restitution claim. Follow these verified steps:
- 1Visit the official SEBI SCORES 2.0 portal at scores.sebi.gov.in.
- 2Log in or register your account with your verified PAN, Aadhaar, and mobile number.
- 3Click 'Lodge New Complaint' and designate the category as 'Unregistered Investment Advisory / ASTA Disgorgement'.
- 4Upload your bank payment statements, UPI transaction receipts, invoices, and course admission certificates issued by ASTA.
- 5Note your SCORES Registration Number to track refund disbursal updates certified by the court-appointed Chartered Accountant.