Why did Rupeezy send an email requesting clarity on trades?

SEBI and the exchanges require Rupeezy to review certain flagged trades and ask you for an explanation — it's a standard compliance check every broker is required to run, not an accusation. Respond with what's asked and there's usually nothing further to do.

Why was my trade flagged?

NSE and BSE generate automated alerts when a client's trading pattern looks unusual, for example:

  • A sharp, sudden increase in your trading activity
  • Trading activity in an account that had been dormant
  • Trading concentrated in a few illiquid scrips, or in minimum lot sizes
  • Patterns resembling circular trading, pump-and-dump, wash sales, reversal of trades, or front running

Rupeezy also runs its own internal monitoring alongside these exchange-generated alerts.

What does Rupeezy ask for?

  • An explanation — the reason you carried out the flagged trade(s).
  • Documentary evidence, if needed — usually a bank statement (for funds) or a demat account statement (for securities), covering roughly 15 days on either side of the transaction, to confirm the money or securities genuinely belong to you.

What happens if I don't respond, or the explanation doesn't hold up?

Per Rupeezy's Surveillance Policy, an unresolved or repeated alert on an account can lead to further trading exposure being withdrawn. Rupeezy is also required to report cases with adverse observations to the exchange, generally within 45 days of the alert.

Do I need to do anything else?

Just respond with the clarification — and any documents, if asked — as promptly as you can. Rupeezy records and preserves these clarifications as part of its compliance obligations.

Things to keep in mind