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Action against BPL, Videocon, Sterlite, 22 brokers
As a sequel to a SEBI probe into alleged market manipulation, government has initiated action against BPL, Videocon and Sterlite, along with 22 brokers including Harshad Mehta, Credit Suisse First Boston (India), First Global Stock Broking, Nirmal Bang Securities and Anand Rathi Securities, since March 2001.
As a sequel to a SEBI probe into alleged market manipulation, government has initiated action against BPL, Videocon and Sterlite, along with 22 brokers including Harshad Mehta, Credit Suisse First Boston (India), First Global Stock Broking, Nirmal Bang Securities and Anand Rathi Securities, since March 2001.
The 25 companies had been charged by Securities and Exchange Board of India (SEBI) for irregularities like price manipulation and violation of takeover code, an official release said while listing the names of the companies.
BPL, Videocon and Sterlite, have been prohibited from accessing the capital market for a period of four years, three years and two years respectively, on account of their involvement in price manipulation in connivance with Harshad Mehta, it said. In addition, the Department of Disinvestment (DoD) has framed guidelines regarding qualification of bidders seeking to acquire stakes in public sector enterprises and qualification of advisors for the disinvestment process, it said.
Decision will be taken, where applicable, regarding individual companies after observing the due process prescribed in the guidelines of the ministry of disinvestment, it added. Harshad Mehta has been debarred for lifetime from dealing with in securities, for manipulating prices of BPL, Videocon and Sterlite.
Apart from Harshad Mehta, 21 broker firms have been prohibited from undertaking fresh business till the completion of enquiry proceedings and action thereon.
Bureau Report
BPL, Videocon and Sterlite, have been prohibited from accessing the capital market for a period of four years, three years and two years respectively, on account of their involvement in price manipulation in connivance with Harshad Mehta, it said. In addition, the Department of Disinvestment (DoD) has framed guidelines regarding qualification of bidders seeking to acquire stakes in public sector enterprises and qualification of advisors for the disinvestment process, it said.
Decision will be taken, where applicable, regarding individual companies after observing the due process prescribed in the guidelines of the ministry of disinvestment, it added. Harshad Mehta has been debarred for lifetime from dealing with in securities, for manipulating prices of BPL, Videocon and Sterlite.
Apart from Harshad Mehta, 21 broker firms have been prohibited from undertaking fresh business till the completion of enquiry proceedings and action thereon.
Bureau Report