Zerodha in trouble? Investor accuses platform of withholding funds, Nithin Kamath responds

Malpani took to X to share, "The Zerodha scam ! They don't allow me to withdraw my own money from their account ,saying the daily limit for withdrawal is Rs 5 crores . They use my money for free ! @zerodhaonline This is unfair @nikhilkamathcio."

In response, Zerodha's support team responded saying, "Hi Aniruddha, we're checking this. You will have an update on the ticket at the earliest."

Later, Zerodha co-founder Nithin Kamath responded saying Malpani's request was processed and it will go through some checks which are in place.

Kamath wrote on X, "Hi Dr, your payout requests were processed yesterday. We need to ensure, for the sake of our systems' sanity (like all other financial services firms), that we have some checks in place when clients withdraw funds.

"As you can imagine, numerous potential issues can arise during the withdrawal process, and once funds are paid out, there is no way for us to recover them. Hence, Rs 5 crore is the threshold at which we ask customers to create tickets to withdraw."

Tax Compass Ajay Rotti backed Zerodha's policy saying it was not a scam and people should be aware of these limits.

Rotti said, "It isn't a scam. I would rather deal with a broker who has controls like these and prevents actual scams of someone cleaning up my account in a day!! There is a way to increase this limit. But, NO... everything single things has to be called a "scam"!!! There is a reason why Banks also have limits of per day for transfer to beneficiaries... UPI limit per day. All to ensure there is no wrongful withdrawal done in a single transactions.

"People need to be aware of these limits and plan their transactions if they want to do it online. Else, there is always an option to increase these limits and those need to be used. No point crying Scam for everything on social media."