Price came down to Rs 2… Lower circuit in companies due to action on Anil Ambani

Last week, the Securities and Exchange Board of India (SEBI) took strict action against industrialist Anil Ambani. After which, shares of many companies associated with Anil Ambani are hitting lower circuits.

In fact, on August 22, SEBI banned Anil Ambani and 24 others from the equity market for 5 years on charges of fund diversion. Anil Ambani has also been fined Rs 25 crore. In which it was said that he had planned to ‘misappropriate’ funds from Reliance Home Finance, a listed subsidiary of Reliance Group, of which he is the chairman.

Lower circuit in these companies

After this action of SEBI, shares of many companies associated with industrialist Anil Ambani, Reliance Home Finance Limited, Reliance Power and Reliance Communications also hit lower circuit on Tuesday. Shares of Reliance Home Finance Limited hit a lower circuit of 5% to Rs 4.03.

On the other hand, Reliance Power’s stock has hit a 5% lower circuit and reached Rs 31.10. While Reliance Communications’ stock is on trading hold on Tuesday. But before this, on Monday, this stock also fell 5% and closed at Rs 2.32. Actually, after SEBI’s action, Anil Ambani’s companies’ shares have been hitting lower circuits since Friday. However, in the meantime, Reliance Infra’s stock is seeing a slight increase.

Company statement on SEBI action

On SEBI’s action, Anil Ambani’s spokesperson said that Anil Ambani had distanced himself from Reliance Infrastructure and Reliance Power only after SEBI’s interim order of February 11, 2022. He has been following that order continuously for two and a half years. Now SEBI has imposed a ban against him in its order dated August 22. The spokesperson said that we are considering all aspects. A decision will be taken when the time comes.

Let us tell you, on the basis of its investigation, SEBI had said that Anil Ambani had run a fraud scheme. Some officials of Reliance Home Finance also supported him in this. All of them together manipulated the money of the public listed company. Reliance Home Finance gave loans to ineligible companies associated with the promoter. Due to which it later became an NPA and the financial condition of the company deteriorated.

(Note: Before investing in the stock market, please seek the help of a financial advisor)