Chennai, Aug 18 (IANS) The Jaipur Stock Exchange (JSE) Wednesday suspended trading in shares of Bank of Rajasthan (BOR) with immediate effect for violation of listing agreement, Securities Contract (Regulation) Act and other Acts.
The suspension order came before Aug 25, the record date for ascertaining the shareholders of BOR who are eligible for ICICI Bank shares as per scheme of amalgamation.
‘We as a stock exchange are highlighting that BOR during the process of merger has violated several laws. As per the company’s own submissions the extra ordinary general meeting (EGM) to get the shareholder’s approval for merger was not at all held by BOR,’ JSE Chairman Puneet Jain told IANS.
He said officials of ICICI Bank Wednesday – the last date to make the submission for the show cause notice issued to BOR- orally reiterated what ever that happened during the run up to the merger.
‘ICICI Bank officials wanted some more time to make their submissions which we declined,’ he said.
JSE had issued the final show cause notice to BOR on Aug 14.
‘We had already sent a copy of the show cause notices issued to BOR to Reserve Bank of India, Securities Exchange Board of India (SEBI) and other stock exchanges where BOR scrips are traded,’ Jain said.
According to Jain, the ball is now in SEBI’s court to act on the issue.
