August 04, 2009

Aggrieved Shareholders of Binani Metals Limited Plan to Appeal to Calcutta Stock Exchange

Binani Metal Limited , an asset laden investment holding company of Braj Binani ( Binani Cement ) had increased the face value of its share from Rs. 100 to Rs. 1000 by consolidating 10 shares of Rs.100 into one share of Rs. 1000. This had rendered share holdings of many small share holders into fractional holding. This fractional holding was , then , compulsorily sold at a very low rate of Rs. 450 per one full share ( much much below the intrinsic value -or NAV of one share .)

Aggrieved share holders , in Jalandhar and around , of Binani Metals limited have called upon regulatory bodies like Calcutta Stock Exchange , SEBI and Company Law Board to look into this anti small shareholder move by Binani Metal Limited.

The aggrieved shareholders have , also , appealed to Investor Protection bodies , Associations and like minded individuals , and have sought their valuable help and guidance in pursuing this matter.

1 comment:

Gopal Aggarwal said...

It is very AMAZING the brazen manner in which Binani Metals Limited has deprived its small share holders (non-promoter holders) of their shareholdings.

Rs 1000/- face value of one share is unprecedented and unheard of for a listed company.

When we requested Binani Metals Ltd for purchase of fractional shares (to save our holdings) no assistance/guidance was given.

Would Binani Metals disclose who the buyers of consolidated fractional share were?

Can a writ petition be filed in a High Court against Binani Metals Limited?

Also, which court has the jurisdiction?

Kindly guide and help........