Mumbai, May 22 -- India's market regulator on Friday barred seven entities that it said were linked to a social media-driven stock manipulation operation that allegedly generated more than Rs.20 crore in profits by luring retail investors into little-known stocks through X and Telegram recommendations.

In an interim ex-parte order, the Securities and Exchange Board of India (Sebi) alleged that Hemant Kumar Gupta, Rohan Gupta and Aniket Gupta engaged in fraud, manipulation and unfair trade practices through social media-driven stock recommendations.

The regulator alleged that the trio first accumulated shares in select small- and micro-cap companies through connected accounts. Once positions were built, they began posting bullish stock r...