Indore, Sept 27: A local commodity exchange here has demanded cancellation of 10 lakh shares of National Board of Trade, which allegedly alloted the shares to "benami" companies at a very low price than their actual value, and called for a probe into the matter. Soyabean Association Processors of India (SOPA) chairman Rajesh Jain alleged that 10 lakh shares of NBoT were allotted to seven companies of which three did not even exist.
The shares were allotted to three other companies by NBoT whose paid up capital was just Rs 300 to Rs 2000, he told reporters here.
Jain questioned the role played by the Forward Market Commission (FMC) and the State Bank of Indore and alleged that the shares allotted to the companies were specially created for the purpose “indirectly” by NBoT chairman without following the rules and regulations.
An NBoT statement, however, denied the allegations that the shares were sold to benami companies at a very low price. It clarified there is no direct or indirect relation between the share applicants/allottees and the board of directors of the National Board of Trade Limited.
It also said in the process of allotment of such shares, the State Bank of Indore acted as banker only.
Bureau Report