• PAGE ONE
• INDEX
• HOME

Complaint against Mistry group filed

Our Bureau

MUMBAI, Nov. 29

MAN-MADE Fibres Pvt Ltd, which has made a counter-offer to acquire the shares of Forbes Gokak Ltd, has complained to the Securities Exchange Board of India (SEBI) that Sterling Investments and others (the Pallonji Mistry group) — the original bidde rs — have violated the SEBI norms.

In its complaint, Man-Made Fibres of Mr Pawankumar Sanwarmal has said the public announcement by Sterling Investments Corporation and others was made on October 15.

According to regulations 15(2) and (3), a draft public announcement has to be filed with SEBI at least two working days before the public announcement. According to the acknowledgment of faxes filed by the merchant bankers to the Mistry group, the faxes were sent on October 11 between 5.47 p.m. and 7.52 p.m., after office hours.

It has urged SEBI to investigate the matter and take appropriate action against the investment firms of the Mistry group that have made the original bid on Forbes Gokak. They have also urged that the ``penalties including cancellation of the original off er and other suitable action as provided under SEBI regulations be initiated.''

It is said that the Mistry group filed the actual draft public announcement only on October 12 with the appropriate authorities. ``According to Sterling and others, Saturday and Sunday are not to be counted for the purpose of regulations 15(2) and 15(3) and obviously therefore their public announcement is not in conformity with regulation,'' the complaint says.