SEBI letter forged: Pyramid Saimara

24 December 2008

With all the makings of a soap opera Chennai-based entertainment and theater company Pyramid Saimira Theatre has accused vested interests of manipulation and hammering down its share price.

The company said the letter that it had received from the regulator Securities Exchange Board of India (SEBI), regarding its open offer, has been forged (See: SEBI forces Pyramid Saimara to make open offer at Rs250 per share) 

The company had requested the Bombay Stock Exchange and National Stock Exchange not to issue payouts but conduct a thorough inquiry into the share transactions of its stocks on Monday. The company is also planning to launch a formal complaint with Central Bureau of Investigation (CBI) in this regard.

Pyramid Saimira alleged that competitors and big business interests were behind the constant hammering of its share price and also "creating panic among the investors with an ulterior motive".    

Chronology of events:

Sunday, Dec 21: Newspaper reports quote the Pyramid Saimira company secretary as admitting he had received SEBI's letter on Saturday. Company secretary denies reports
Monday, Dec 22: In response to reports, firm tells BSE / NSE that no order had been received from SEBI until Monday morning. 'Note' delivered thereafter.
Tuesday, Dec 23: SEBI confirms that it had not issued any such letter. Pyramid Saimira  CMD claims manipulation of stock and selective leaks of forged note.
 
Narrating the sequence of events, Pyramid Saimira Group said in a press release: