The Stockal incident is "unrelated to DriveWealth, as it occurred on Stockal’s app, not our platform", global financial technology platform DriveWealth told Moneycontrol in a statement on November 5.
"DriveWealth has no customer-facing app through which trades are placed, and our systems and client data were not affected by this incident," the statement said.
The statement comes in response to a Moneycontrol story, which reported nearly 30 retail investors having allegedly lost more than Rs 100 crore in unauthorised stock trades linked to Bengaluru-headquartered fintech platform Stockal Securities.
The affected investors have alleged that their accounts were accessed without authorisation on October 15, resulting in the mass liquidation of their US blue-chip stock holdings and causing what "massive losses" to their portfolios.
Stockal Securities is a Bengaluru-based Indian fintech platform registered with Sebi that allows retail investors in India to buy and sell US stocks, exchange-traded funds (ETFs) and other foreign securities. It offers an India-facing app for account funding, trading and portfolio tracking, while partnering with US-based clearing brokers such as DriveWealth LLC to execute trades and hold assets in custody.