Date: June 16, 2026

Regulatory Complaint Details

Advani Hotels & Resorts (India) Ltd has filed a formal complaint with SEBI against InfinHub Market Technologies FZ-LLC, a Dubai-based entity operating the website www.marketsmojo.com. The complaint alleges serious violations of the Securities and Exchange Board of India (Research Analysts) Regulations, 2014.

Specific Allegations

Regulatory Violations:

  • InfinHub publishes research reports on Indian securities without SEBI registration as required under Regulation 3 of RA Regulations
  • Foreign entities must enter into agreement with SEBI-registered research analysts under Regulation 4, which InfinHub appears to violate
  • Failure to disclose registration status as required under Regulation 21 of RA Regulations

Factual Inaccuracies:

  • Persistent publication of incorrect dividend payout ratio of 133.34% versus actual ratio of approximately 70% for FY2025-2026
  • Publication of interest coverage ratio of 27.15x despite company having no long-term debt and minimal short-term borrowings with negligible interest expense
  • Use of irrelevant historical data from 2008-2010 period when company had different operational structure including Airport Plaza flight kitchen operations and 51% stake in Advani Pleasure Cruise Company Private Limited

Contradictory Recommendations:

  • May 26, 2026: "Good" rating at 8:00 AM IST changed to "Hold" rating at 8:45 AM IST (45 minutes later)
  • June 2, 2026: "Attractive" rating changed to "Sell" rating on June 4, 2026 (within 2 days)
  • Overall "Strong Sell" recommendation with score of 26/100 points

Timeline of Events

2025 Incidents:

  • November 8, 2025: Negative articles published immediately after board meeting conclusion
  • November 12, 2025: Additional negative articles using 2008-2010 historical data for misleading comparisons
  • November 19, 2025: Meeting held with InfinHub's Chief Investment Officer Sunil Damania where discrepancies were pointed out
  • November 20, 2025: InfinHub removed one article and corrected dividend payout error

2026 Incidents:

  • May 26, 2026: Article published with same dividend payout error previously corrected in 2025
  • June 8, 2026: Adfactors (IR agency) sent communication requesting correction of errors
  • June 9, 2026: InfinHub responded explaining assessment framework considers quality, valuation, quarterly performance, and technical indicators

Financial Data Discrepancies

Dividend Payout:

  • MarketsMojo reported: 133.34%
  • Actual company figure: ~70% for FY2025-2026

Historical Performance Data Used:

  • 2008: Net sales 71.75 Cr, operating profit 28.53 Cr, PAT 14.75 Cr, EPS 2.47
  • 2010: Net sales 30.21 Cr, operating loss 8.92 Cr, PAT loss 14.74 Cr, EPS -1.78
  • Company states this data is irrelevant due to different operational structure

Current Financial Position:

  • No long-term debt
  • Minimal short-term borrowings with negligible interest expense
  • Market capitalization: ₹512 crore (Micro Cap)

Requested SEBI Actions

1. Verify if InfinHub has agreement with SEBI-registered research analyst

2. Immediate cease and desist order for all research publication on Indian securities

3. Initiate enforcement proceedings under SEBI Act, PFUTP Regulations, and RA Regulations

4. Comprehensive investigation into InfinHub's operations and potential collusion

5. Maximum penalties, disgorgement of illicit gains, and perpetual market access bans

Company Representation

The complaint was signed by Ajay G. Vichare, Chief Financial Officer, and copied to National Stock Exchange of India Limited, Bombay Stock Exchange Limited, and InfinHub Market Technologies FZ-LLC.