SEBI Warns Investors Against Fake STT Payment Notices

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  • Last Updated on 1 March, 2026

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SEBI fake STT payment notices

Press Release no. 15/2026; Dated: 26.02.2026

The Securities and Exchange Board of India (SEBI) has issued a cautionary note highlighting instances of fraudsters sending fake notices demanding payment of outstanding Securities Transaction Tax (STT).

1. Modus Operandi of Fraudsters

SEBI has observed that fraudsters are:

  • Circulating fake notices using forged SEBI letterheads
  • Impersonating SEBI officials and its offices
  • Creating and using fake or spoofed email IDs resembling those of SEBI officials
  • Demanding payment of alleged outstanding STT amounts

These fraudulent communications are designed to mislead investors and extract money under the guise of regulatory compliance.

2. Risk to Investors

Unsuspecting investors are being deceived into believing these fraudulent communications and are transferring funds to unauthorised accounts, resulting in financial losses. SEBI has cautioned investors to remain vigilant and verify the authenticity of any such communication.

3. SEBI Clarification

SEBI has clarified the following:

  • It does not issue notices to investors or entities for remittance of outstanding STT amounts.
  • It does not coordinate with the Reserve Bank of India (RBI) for recovery or collection of STT through such notices.
  • Any communication claiming otherwise should be treated as fraudulent.

4. Advisory to Investors

Investors are advised to:

  • Exercise caution when receiving unsolicited notices or payment demands
  • Verify communications claiming to be from SEBI through official channels
  • Avoid transferring funds based on suspicious or unverified instructions

This advisory is aimed at protecting investors from financial fraud and ensuring awareness about impersonation and phishing attempts misusing SEBI’s name.

Click Here To Read The Full Press Release

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Author: Taxmann

Taxmann Publications has a dedicated in-house Research & Editorial Team. This team consists of a team of Chartered Accountants, Company Secretaries, and Lawyers. This team works under the guidance and supervision of editor-in-chief Mr Rakesh Bhargava.

The Research and Editorial Team is responsible for developing reliable and accurate content for the readers. The team follows the six-sigma approach to achieve the benchmark of zero error in its publications and research platforms. The team ensures that the following publication guidelines are thoroughly followed while developing the content:

  • The statutory material is obtained only from the authorized and reliable sources
  • All the latest developments in the judicial and legislative fields are covered
  • Prepare the analytical write-ups on current, controversial, and important issues to help the readers to understand the concept and its implications
  • Every content published by Taxmann is complete, accurate and lucid
  • All evidence-based statements are supported with proper reference to Section, Circular No., Notification No. or citations
  • The golden rules of grammar, style and consistency are thoroughly followed
  • Font and size that's easy to read and remain consistent across all imprint and digital publications are applied