Stocks decline
Mumbai: The shooting down of a Pakistani surveillance aircraft, as expected on Wednesday, caused a decline in the Mumbai stock market. The net loss suffered by the index was about 40 points.

Information technology stocks got fresh support, though some of the pivotals declined. Bajaj Auto, Reliance, BHEL, Escorts and Hero Honda were the notable ones that declined. The ‘B’ group performed better compared to the ‘A’ group, as it had more stocks registering gains.
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NSE strategy to allow new members
Mumbai: The National Stock Exchange has devised plans to allow members from smaller stock exchanges to also become its members.

For this, the smaller stock exchanges must form subsidiaries, which will take up NSE membership. The NSE will provide trading terminals to all members of these stock exchanges. These members, along with the NSE, will take care of the operations of the exchanges that includes inspection and grievance redressal.

This plan is born out of a meeting the Securities and Exchange Board of India had with stock exchanges on 9 August 1999.
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Will mutual funds be allowed to invest funds overseas?
Mumbai: Is the time ripe to allow Indian mutual funds to invest overseas? This will be the agenda for the three-member capital market committee headed by Reserve Bank of India Governor, Bimal Jalan, that will meet on Thursday. The other panel members are E A S Sarma, secretary, department of economic affairs, and Securities and Exchange Board of India chairman, D R Mehta.

The issue has been pending with the government for close to a year. Previously, a Sebi committee had recommended that mutual funds be allowed make overseas investments, so as to enable them to gain from arbitrage opportunities as well as to spread their risk across markets.
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Sebi initiates six-month audit
Calcutta: The Securities and Exchange Board of India has mooted with the Institute of Chartered Accountants of India the idea of six-monthly audit of all listed companies. This follows the earlier Sebi move to instruct all listed companies to publish quarterly results – though in an unaudited form. Sebi feels that six-monthly audited disclosures will make the system more transparent.
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Z group increases in BSE
Mumbai: The BSE would be shifting 25 more ‘B2’ group companies to the Z group, following their non-compliance with the listing agreement provisions.
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Bhubaneswar broker suspended
Mumbai: Sebi suspended Rabindra Bajoria, a Bhubaneswar Stock Exchange broker, for six months, for failing to furnish documents to Sebi for inspection. The suspension takes effect from 10 August 1999.
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ICICI Safety Bonds issue opens on 14 August
Mumbai: Industrial Credit and Investment Corporation of India Ltd.’s third Safety Bonds issue will open on Saturday, 14 August 1999, and close on 27 August 1999.

The issue target is fixed at Rs.200 crore, and ICICI has an option to retain an over-subscription of up to 100 per cent. In its two earlier issues this year, ICICI had fixed a Rs.300-crore target and an option to retain up to Rs.300 crore.
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Public issue offer letter format standardised
Mumbai: Sebi has drafted a standard letter of offer format to be prepared by companies that come out with public issues. The draft specifies the minimum disclosures that have to be made by such companies. Sebi has placed this format at the website www.gov.in, The new disclosure norms will take effect from 10 August 1999.
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