Do you know how a low-profile stockbroker might demolish the entire financial system and get paid billions? If yes, Scam 1992: The Harshad Mehta Story is a must-watch for you. This exciting drama is based on actual facts that give a compelling insight into the biggest financial scam that shook India in 1992. This series will interest a finance enthusiast as much as it will a lover of dramatic thrillers.
You can watch the Scam 1992 full movie in Telugu on the Watcho App. This way, you can watch the full movie in Telugu from the comfort of your home without the hassle of signing up for many OTT subscriptions. The Watcho app has got it all for all your streaming needs.
Now, let’s continue with how the Scam 1992 OTT Telugu opened numerous cracks in India’s financial system.
Harshad Mehta and the BSE
Born in humble surroundings in Bombay, Harshad Mehta eventually rose to the echelons of becoming one of the most influential figures in India’s financial field. Such was his rise in the early 90s as the ‘Big Bull’ of the Bombay Stock Exchange (BSE), renowned for his audacious investments and playing the market like a game of chess. For in this image of success lay a complex web of deceit.
In Scam 1992 OTT Telugu, we see Harshad manipulate the stock market by exploiting loopholes in the system and pulling off what became the largest financial scam in Indian history. The scam was of over ₹5,000 crores; it caused an unfathomable crash in the stock market, leaving millions of people without their hard-earned money.
How the Scam 1992 Exposed the Financial System’s Vulnerabilities
- The Lack of Regulatory Oversight
One of the glaring weaknesses Scam 1992 exposed was the lack of adequate control over regulations. Harshad exploited the fact that there was no central clearing system to transfer securities between banks and brokers. The system was so outdated that Harshad could effectively create fake transactions, and nobody noticed money being siphoned off through various banks.
Fact: BSE and other financial houses at that time did not have a consolidated system of share transactions. It was here that Harshad Mehta exploited it fully by initiating a system called “badla,” which is basically just a type of deferred settlement mechanism to control stock prices.
- Role of Banks and Financial Institutions
The Scam 1992 full movie in Telugu takes us through the story of how there were so many banks involved in the scam, though, ignorant in the first place, and then are parties to a hush-up over the matter of such a huge scam. Harshad Mehta worked on connections that tampered with the banking system. He would borrow humongous amounts from banks and lend them out to inflate the prices of stocks artificially, creating a bubble.
Fun Fact: Harshad’s transactions with the State Bank of India were especially renowned. He could manage to get an advance of ₹500 crores from SBI, which was not only unauthorized but was also violative of banking regulations that prevailed then.
- The Exploitative Character of the Stock Market
Scam 1992, from beginning to end, witnesses how the stock market, being unchecked, easily turns into a machinery of exploitation. Harshad could manipulate share prices, use fake receipts from banks, and do other such things precisely because the infrastructure of the stock market was so frail.
Did You Know? The Scam 1992 OTT Telugu also highlighted how “jobbers” (stock brokers) were inflating prices, giving irrational reactions in the market, and had a ripple effect that eventually led to the market crash.
Role of the Media in Exposing the Scam
One interesting aspect of Scam 1992 is the character of Sucheta Dalal, who is a fearless financial journalist and was the first one to break Harshad Mehta’s scam. While the banks as well as the regulators were extremely lethargic in taking any action, Dalal’s investigation journalism came in handy in revealing the scam. She did not give up; she pursued every lead and dug deep into it as well when people feared asking questions.
Inspiring Fact: Sucheta Dalal, being the whistleblower, reminds us of how news media holds people in power accountable to society. Her reporting was followed by a mammoth investigation process led by the Central Bureau of Investigation (CBI) opening the gates to reforms in the Indian financial sector.
How Scam 1992 Has Changed India’s Financial Regulation.
Following the scam, India’s financial laws underwent massive reforms. It called out for higher transparency and accountability in the stock market. It put out the vulnerabilities in the banking sector, particularly in the way transactions were recorded and monitored.
Reforms after the Scam: SEBI, or the Securities and Exchange Board of India, was established with more powers to regulate the stock market better in the aftermath of this scam.
Dematerialized Shares: It was proved how easy it was to manipulate the physical shares through this scam. Therefore, Dematerialized shares were introduced, where the shares are electronically held to bring greater transparency into the transaction.
Centralized Clearing and Settlement Systems: The financial system was redesigned with an even more reliable system of clearing and settlement of trades such that fraudsters could not exploit any loophole.
Watch Scam 1992 on Watcho
If you are interested in financial scandals, gripping dramas, and real-life stories of deception, then Scam 1992 is the show that you cannot afford to miss. Not only is Scam 1992 the story of one of India’s most notorious financial fraudsters, but it also sets out to educate audiences on how the financial system works and precisely where it can go wrong. The show is like a rollercoaster ride of ambitions, deceptions, and drama loads – it makes us question the important things in the world today that we think are transparent and well-governed.
To be able to have a front-row seat to such an incredible story, make sure to watch the Scam 1992 full movie in Telugu on the Watcho App. All your favorite shows and movies can be watched in a single subscription without the hassle of multiple OTT subscriptions. Watcho brings it all to you- no more switching between apps!