Hyderabad, Apr 8: The Hyderabad Stock Exchange has slapped a notice on Satyam Computer Services Ltd for its delay in intimating the exchange about the company's board meeting to decide the bonus issue. The exchange has sought an explanation from the company on the matter.In its written reply, the company has said that the board meeting scheduled for both days, March 26 and March 29, was a late evening development. Since the exchange was closed for three days from March 27 to 29, the company could intimate the exchange only on March 30. HSE is examining the company's reply.
The company had published the bonus notice in a financial daily on March 27, which indicates that the decision had been taken on March 26 itself. HSE's letter to the company said: "There were wide fluctuations in the market price of your scrip during the previous settlement ended March 26."
HSE had asked the company to furnish details on
The exact time at which and to whom the company had issued the March 27 notice togetherwith the acknowledgement from them; Whether the company had furnished a copy of the notice dated March 27 on March 26 to any stock exchange including the HSE and, if so, the acknowledgement thereof; Reasons, if any, for not filing the notice on March 26 with the stock exchange issued on March 26 for publication on March 27; The exact time at which and to whom the company had issued the March 29 notice for publication to the financial daily together with the acknowledgement from them; and. Whether the item on consideration of bonus was decided to be included on March 26 or on March 29. If it was decided on March 29 itself then the company has to furnish a copy of the material in support thereof.After publishing the board meeting notice on March 26 and then communicating it to the HSE on March 30, Satyam had carried an addendum in the same financial daily, adding the subject of bonus issue to the agenda for the April 13 board meeting.
In a serious observation on the company, theHSE noted that in the past also there were instances when Satyam had not informed the exchange prior to the publication of important and price-sensitive information.
Citing an example, senior exchange officials said Satyam had not intimated the exchange of receiving the SEI Level 5 certification despite enquiries by them. The same was available to the exchange only after closing hours while the wire services had already flashed the news.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.
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