Pedestrians look up at an electronic ticker board showing a budget news report outside the Bombay Stock Exchange. (Photographer: Dhiraj Singh/Bloomberg)

Videocon, 10 Other Firms To Move To Restricted Trading Segment From September 3

As many as 11 companies, including Videocon Industries Ltd. and Gemini Communication Ltd., will be shifted to the restricted trading category from Sept. 3 for not complying with listing rules related to shareholding disclosures.

The move is part of the surveillance review to ensure market safety and safeguard interest of investors. Other stocks to be shifted by the Bombay Stock Exchange are:

  • Bilpower
  • Cals Refineries
  • Citizen Yarns
  • Grandma Trading & Agencies
  • Jyoti Overseas
  • KGN Enterprises
  • KGN Industries
  • Layla Textile and
  • Traders and Omega Ag-Seeds Punjab.

The National Stock Exchange has decided to transfer three common stocks— Videocon Industries, Gemini Communication and Bilpower—to the Z-category.

BSE and NSE, in separate notices, said that Punjab National Bank Ltd. fraud accused Mehul Choksi’s Gitanjali Gems, Amtek Auto and five other companies, which are already in the restricted trade or Z category for other violations, have also failed to comply with disclosure norms.

No speculative trading is allowed and delivery of shares and payment of consideration amount are mandatory in the trade-to-trade segment.

These 11 companies have not submitted the shareholding pattern report for two consecutive quarters—March and June this year, violating Securities and Exchange Board of India’s Listing Obligations and Disclosure Requirements regulations.

The Z-group also includes companies that have failed to comply with the listing requirements or not resolved investor complaints or not made required arrangements with the depositories (CDSL and NSDL) for dematerialisation of their securities.

The exchanges, earlier this month, announced that they will suspend trading in shares of nine firms from Sept. 10 for non submission of financial results for Dec. 2017 and March 2018 quarters.