Kimi has pointed out an amazing clarification put out by Jaiprakash Associates
[gview file=”https://alphaideas.in/wp-content/uploads/2014/12/Jaiprakash_Associates_Ltd_161214.pdf”]
Can imagine Shri Gaur singing this:
Fear not if your FD is due
We will pay up like we always do
No need to short our stock or sell
All is Well,All is Well
(Hat Tip:Jagadeeswaran)
If the promoter is a
Raju or a Reddy
Better sell quickly
Before you lose your “chaddi”
-Old Dalal Street saying
Another example to buttress this point is that of Amara Raja Batteries.
Amara Raja is seeking approval through a postal ballot, that ends on Friday, for entering into a lease agreement with Amara Raja Infra Pvt Ltd (ARIPL) to “take on lease land measuring 62 acres for a period of 99 years for total consideration of Rs 40.30 crore with effect from October 1”.
The land is in Andhra Pradesh’s Rayalaseema region. The new lease is in the vicinity of Amara Raja’s existing premises, part of the proposed 482 acres of an industrial park being developed by ARIPL. The company has undertaken expansion for enhancing the capacity in both industrial and automotive batteries at Nunegundlapalle village, Bangarupalyam mandal, in Chittoor district.
These facilities have already been put up on 100 acres of land taken on a 99-year leases from ARIPL. The listed firm’s promoters, Ramachandra Galla and Jayadev Galla, are directors of ARIPL and with their relatives own all the paid-up capital-from BS
So Amara Raja wants to pay its promoters upfront for a 99 year lease.
The above ditty should now be modified to:
If the promoter is a
Galla,Raju or a Reddy
Better sell quickly
Before you lose your “chaddi”
I had blogged earlier as how PSU Banks owing equity stakes in companies are a red flag.
But it appears that there are some wonderful(!) companies out there which have the TaxMan as a significant shareholder !
| Symbol | Entity | # of Shares | % | Date End |
| JVLAGRO | Tax Recovery Officer 6 Kanpur | 1700000 | 1.01 | 201406 |
| MAGNUM LTD | Tax Recovery Officer Range 9 Ahmedabad | 71900 | 1.13 | 201406 |
Many Thanks to Vishal for pointing out Magnum Ltd
“Over the years I have observed that those individuals who do not keep stuff in their wallet and particularly currency in organised/aligned manner are generally at mess with storage and administration of their overall financial documents.”-Gaurav Mashruwala