Day: July 5, 2013

A warning sign that something is rotten

Post author By Raoji
Post date July 5, 2013
1 Comment on A warning sign that something is rotten

While researching for my Investor Wisdom newsletter,I came across an interesting fact.

If the shareholding pattern of a company has many banks or brokerages, it implies that something rotten is happening.Banks/Brokerages become large shareholders when the company is unable to meet its debt obligations and a part of the debt is converted into equity.

Exhibit one of this phenomenon is GTL.Consider its shareholding pattern as on 31 March, 2013

Bank	# of Shares	%
BANK OF INDIA	5760424	3.67
ANDHRA BANK	4787185	3.05
PUNJAB NATIONAL BANK	4045570	2.58
IDBI BANK LIMITED	3317412	2.11
CANARA BANK	3296275	2.1
UNION BANK OF INDIA	2769496	1.76
DENA BANK	2741555	1.75
VIJAYA BANK	2654910	1.69
INDIAN OVERSEAS BANK	2433199	1.55
UCO BANK	1854519	1.18
BANK OF BARODA	1684550	1.07
SMALL INDUSTRIES DEVELOPMENT BANK OF INDIA	1649828	1.05
INDIAN BANK	1639016	1.04

Banks altogether hold around 24.6% of the company !

Prashant made a great observation-There is not a single private bank to keep the PSU banks company !

Tags gtl

5Stocks

5 Stocks whose buyback is currently on

Post author By Raoji
Post date July 5, 2013
No Comments on 5 Stocks whose buyback is currently on

This post is in continuation of my 5 Stocks Series (see here)

5 Stocks whose buyback is currently on is listed below:

FDC
MAHSEAMLES
PANAMAPET
SELAN
INFINITE

Tags 5stocks, fdc, infinite, mahseamles, panamapet, selan

Observations

IDFC Capital CEO Tapasije Mishra caught with his pants down

Post author By Raoji
Post date July 5, 2013
5 Comments on IDFC Capital CEO Tapasije Mishra caught with his pants down

As per news reports,

A Delhi district court has rejected the anticipatory bail plea of IDFC Capital CEO Tapasije Mishra in a case filed against him by a woman alleging sexual abuse, intimidation and breach of trust.

The complainant, a divorcee with a nine-year old son and a former air hostess with Emirates Airlines, in an FIR filed with the Vasant Kunj police station (New Delhi), had alleged that Mishra had sexual relations with her for the last three years while promising to marry her. Mishra then backtracked on his commitment, and his father (also named in the FIR) threatened the complainant with dire consequences unless she stayed away from him (Tapasije), she alleged.

In his ruling, Additional Sessions Judge Daya Prakash, said custodial interrogation of the accused was required for investigating the allegations of mental and physical torture.

I find it interesting that IDFC has not informed the stock exchanges of this development.Is it because they think that their CEO getting arrested is not material information?