'He Ran A Grocery Store': SEBI Cancels Research Analyst's License

A SEBI-registered research analyst lost his licence after telling the regulator that he runs a small grocery store and does not carry out research analyst work, an admission that led to the cancellation of his registration under intermediary regulations.

The Securities and Exchange Board of India cancelled the registration of Purooskhan with immediate effect on Dec. 12, 2025, after recording his statement during a personal hearing that he sells daily essentials and snacks for a living.

"During the hearing through virtual mode, it appeared that the Noticee is not conversant with securities market activities and he runs a small provision store selling daily essentials, snacks, etc.," the markets regulator noted in its order.

The order added that it “could not be reasonably gauged as to how such a person was having registration as a Research Analyst.”

The cancellation followed Purooskhan’s request to withdraw from the regulatory framework, ending a case that began with complaints over the misuse of his SEBI registration number by an unregistered investment advisory firm.

SEBI began examining the matter after receiving investor complaints linked to Option Research Consultancy, a partnership firm that offered investment advisory services through the website optionresearch.in. The website displayed Purooskhan’s SEBI registration number, creating the impression that the firm was a registered intermediary.

Investigators found that advisory fees were collected by the partnership firm from investors, while Purooskhan maintained that his registration details had been used without his knowledge. He told SEBI that he had filed complaints with the Tamil Nadu police and the cybercrime portal after learning of the misuse.

In a separate adjudication order dated April 3, 2025, SEBI examined whether Purooskhan had knowingly allowed his registration to be used or colluded with the partnership firm.

The adjudicating officer said the material on record did not conclusively establish intent, collusion or monetary benefit. The order noted that while Purooskhan did not pursue stronger legal action, the evidence did not meet the threshold to prove wrongdoing. The proceedings were closed without imposing any penalty.

At the same time, SEBI pursued a parallel proceeding under intermediary regulations to assess Purooskhan’s conduct and fitness as a registered research analyst.

In that process, the regulator recorded that he had admitted to sharing the password of his registered email address with another person, raising concerns over control of regulatory communications tied to his licence.

SEBI issued a show-cause notice in September 2025 proposing cancellation of the registration. Purooskhan did not submit a written reply.

During the personal hearing on Dec. 11, held through virtual mode, Purooskhan told the regulator that he does not undertake research analyst activity and runs a small provision store.

The quasi-judicial authority recorded that Purooskhan “pleaded, agreed and consented” to the cancellation of his registration. Based on his submission and the recommendation in the proceedings, SEBI cancelled the registration with immediate effect.

The order disposed of the case on Dec. 12, bringing to a close SEBI’s review of a licence-holder whose own statement raised questions about his role in the securities market.