A social media post accusing Zerodha of blocking a client’s fund withdrawal sparked major discussion online and prompted a quick clarification from the brokerage’s co-founder and CEO, Nithin Kamath. The controversy began on X when investor and IVF specialist Dr. Aniruddha Malpani alleged that Zerodha was “using his money for free” by limiting daily withdrawals to ₹5 crore. On Monday, Malpani shared screenshots showing his account details and claimed that despite having sufficient funds, he was unable to withdraw the full amount, calling it a “scam.”
Responding on Tuesday, Kamath confirmed that Malpani’s payout request had been processed and explained that the ₹5 crore limit was a standard operational safeguard. He stated that such checks were necessary to maintain system stability and prevent errors or fraud during large transactions, noting that once funds are transferred, they cannot be recovered.
The online exchange quickly went viral, with many users praising Kamath’s transparency and prompt response. Comments included, “Great to see this kind of accountability,” and “This restores faith in Zerodha,” while others humorously wished for “such problems” themselves.
