Enforcement Directorate freezes accounts holding 200cr after alleged WhatsApp manipulation
The Enforcement Directorate (ED) just froze trading accounts holding ₹200 crore in shares, after uncovering an alleged WhatsApp-driven stock manipulation scam.
Companies like R M Drip and Sprinklers Systems, and R&B Denims issued over 35 million shares, which were hyped up online to boost prices and let preferential allottees take advantage of this increased buying interest and dump a part of their shareholding.
Bhavnagar groups pushed daily buy recommendations
According to the ED, WhatsApp groups like "Multibagger Stocks," reportedly operated from Bhavnagar in Gujarat using SIM cards obtained in the names of other persons in Haryana and Mumbai, allegedly circulated daily buy recommendations between late December 2025 and February this year, causing a buying frenzy.
The scammers also used SMS and X to lure investors into buying at inflated prices.