This Article is From Jul 02, 2014

BSE to Shift 15 Stocks to Restricted Segment From July 9


Bombay Stock Exchange (BSE) has decided to shift stocks of 15 firms to the restricted trading category for not complying with listing agreement rules, from July 9.

The companies would be transferred to the 'Z' group wherein their scrips would be "settled on trade-for-trade basis", BSE said in a circular on Wednesday.

The firms to be shifted include First Leasing Co of India, Tulip Telecom, Crest Animation Studios, Spanco, Anar Industries, Rashel Agrotech, Sharp Industries and Gandhinagar Leasing & Finance.

Under the restricted, or trade-for-trade, segment, no speculative trading is allowed and delivery of shares and payment of consideration amount are mandatory.

BSE said that these scrips "will be transferred to 'Z' group with effect from Wednesday, July  9, 2014, due to non-compliance for two consecutive quarters that is December 2013 and March 2014 for the Clause-41 of the Listing Agreement".

Under the provisions of Clause 41 of the listing agreement, companies listed on BSE are required to file with the bourse their quarterly results in a requisite format, within 45 days of the end of each quarter.

Meanwhile, BSE also said that nine other firms including Excel Glasses, Asian Electronics, Texplast Industries which are currently in the 'Z' group were also non-compliant for two consecutive quarters - December 2013 and March 2014 - of the Clause-41 of the listing agreement.

The 'Z' group was introduced by BSE in July 1999 and includes companies which have failed to comply with the listing requirements and/or have failed to resolve investor complaints and/or have not made the required arrangements with the depositories - CDSL and NSDL - for dematerialisation of their securities.