Notice of Attachment of Bank Accounts and Demat Accounts against Wellindia Securities Limited (Brain Strong Consulting Limited)

Description

SEBI issues recovery certificate for attachment of bank and demat accounts of Wellindia Securities Limited (formerly Stock Brain Net Ltd., now Brain Strong Consulting Limited) in matter of dealings in illiquid stock options at BSE.

Summary

SEBI has issued Recovery Certificate No. 8549 of 2025 (Notice Nos. 14968 & 14969 of 2025) dated October 31, 2025, ordering the attachment of bank accounts and demat accounts of Wellindia Securities Limited (PAN: AABCR5196G), erstwhile known as Stock Brain Net Ltd. and now known as Brain Strong Consulting Limited. The attachment is in connection with recovery proceedings arising from the entity’s dealings in illiquid stock options at BSE.

Key Points

• Defaulter entity: Wellindia Securities Limited (formerly Stock Brain Net Ltd., currently Brain Strong Consulting Limited)
• PAN: AABCR5196G
• Recovery Certificate No. 8549 of 2025
• Notice Numbers: 14968 and 14969 of 2025
• Date of notice: October 31, 2025
• Nature of default: Dealings in illiquid stock options at BSE
• Action taken: Attachment of bank accounts and demat accounts

Regulatory Changes

No new regulatory changes introduced. This is an enforcement action under existing recovery proceedings framework.

Compliance Requirements

• Banks and depository participants must comply with the attachment orders
• The defaulter entity is prohibited from operating the attached accounts
• All relevant financial institutions must freeze the specified accounts as per the recovery certificate

Important Dates

• October 31, 2025: Date of recovery certificate and attachment notice

Impact Assessment

Market Impact: High - The attachment order affects a registered market intermediary, signaling SEBI’s continued enforcement against entities involved in market manipulation through illiquid stock options.

Operational Impact: High - The defaulter entity faces complete freezing of bank and demat accounts, effectively halting its operations.

Regulatory Significance: This action demonstrates SEBI’s ongoing efforts to recover dues from entities involved in manipulative practices in illiquid stock options, which have been a recurring concern in Indian securities markets.

Impact Justification

Enforcement action involving account attachment against defaulter under recovery proceedings related to illiquid stock options manipulation at BSE