Cadila, Nirma lent funds to KP Group
New Delhi: Sebis third interim report on the stockmarket scam has unravelled new disclosures pertaining to alleged price manipulation in several scrips like Ranbaxy Labs, Adani Exports and has found that Cadila and Nirma had lent funds to the Ketan Parekh Group.

The report running into five volumes says that the Reserve Bank of India has found a Ranbaxy promoter entity, Shimal Investments and Trading to have been involved in alleged dubious and fictitious dealing in the shares of the company.

RBI has found that this entity traded frequently in the shares of Ranbaxy and it has referred the instances of these allegedly dubious transactions to Sebi for consideration of regulatory actions.

In the third interim report on the market scam, Sebi has focussed on the role of Ketan Parekh, Credit Suisse First Boston, Centurion Bank and the promoters of Ranbaxy for volatility in Ranbaxys scrip during the period January 1999 to October 1999.

Sebi has also asked Pentamedia Graphics, for details of the allottees of the preferential allotments the company made between January 2000-June 2001.

On Zee Telefilms, the report has found that HSBC Securities was one of the largest net buyers of Zee Telefilms securities at the BSE during October 1999-March 2001.

In another significant disclosure, Sebi report has found that Ketan Parekh also received Rs 34 crore from Cadila group entities and Rs 65 crore from Nirma group entities.
Back to News Review index page