Brightcom Grop shares fell over 5% on the NSE in Monday’s trade following the adoptions of Suresh Reddy and Narayana Raju as Chairman & Managing Director( CMD) and Chief Financial Officer, independently of Brightcom Group.
The company board has also proposed a transition in its leadership platoon and approved the inception of a hunt for a CEO and CFO, the company informed the exchanges. The stock has fallen over 19 in the last four trading sessions.
The adoptions come following the Enforcement Directorate( ED) raids at the services of Brightcom Group, as well as at the places of Reddy and Raju in The inquiry by the ED revealed that Brightcom Group violated vittles of the Foreign Exchange Management Act( FEMA).
“ It was revealed that Brightcom itself financed the preferential issues by round- tripping finances through accessories and conduit realities; that Brightcom falsely claimed to have entered full payment for preferential shares/ clearances by furnishing ‘ forged and fabricated bank statements ’ to SEBI, ” the ED said. farther, further than Rs 300 crore was advanced as loans to accessories were incompletely siphoned off or remained unaccounted.
During the hunt operations, colorful indicting documents and digital bias were recovered and seized, including unaccounted cash of Rs3.30 crore and gold jewellery and bullion worth Rs9.30 crore from the hearthstone of Rao. before this month, Sebi passed a alternate interim order against Brightcom Group, restraining Reddy and Raju from holding any managerial positions, and also barred them from the securities request until farther notice.
Following an disquisition, the restraining order revealed that the officers were involved in the round- tripping of the company’s finances to portray the damage of proceeds through preferential allotment of shares falsely. The quests by the ED came a day before the board meeting of the company to address the counteraccusations of the interim order and the course of action.
