New Delhi, November 4, 2026 (Yes Punjab News)
Fintech company Borderless, the parent of Stockal Securities, has said its US clearing partner DriveWealth reported unauthorised trading activity in 13 customer accounts, following allegations that nearly 30 retail investors suffered losses exceeding Rs 100 crore on the Bengaluru-based investment platform.
In a statement on Wednesday, Borderless said an unauthorised third party appeared to have accessed 26 accounts using valid login credentials. In 13 of these accounts, large-cap stock holdings were allegedly sold and the proceeds used to purchase micro-cap securities. The company said no funds had been withdrawn from the affected accounts.
Borderless, which is registered with the Securities and Exchange Board of India (SEBI) and facilitates investments in US stocks and exchange-traded funds through DriveWealth LLC, said its investigation had found no evidence of a breach or compromise of its platform.
The company said it had engaged independent cybersecurity specialists and believed affected investors might have fallen victim to social engineering. It added that the assistance being provided to customers did not constitute an admission of liability.
Meanwhile, HDFC Securities clarified that it had not been named as an accused in the FIR registered in connection with the alleged fraud.
In an exchange filing, the brokerage said its operational partnership with Stockal for the globalinvesting.in platform, launched in 2019, had ended in 2024. It reiterated that customer trust and regulatory compliance remained central to its operations and said it would cooperate with regulators as required.
The developments follow a Moneycontrol report alleging that nearly 30 investors experienced unauthorised account access in October. Their holdings in companies including Apple, Tesla, Amazon, Alphabet, Nvidia and AMD were reportedly liquidated, with the proceeds used to purchase shares of thinly traded Chinese company Zhibao Technology Inc. (ZBAO), whose stock subsequently fell 60 per cent.
In a letter dated October 30 to an affected investor, DriveWealth reportedly said the unauthorised activity did not originate from its systems and attributed the security lapses to Stockal. It also said the accounts had been frozen on Stockal’s instructions.
The matter has prompted investors to approach SEBI and the US Securities and Exchange Commission (SEC). Investigations into the alleged account access and unauthorised trades are ongoing..
FOLLOW NOW
