Securities and Exchange Board of India (Sebi) has initiated a
probe into the recent spurt in prices of some technology counters
including Himachal Futuristic
(HFCL), Global Telesystems and Infosys Technologies.
It is also
looking into the price fluctuations in some B group scrips, mostly
media stocks. The prices of these shares moved substantially in
the last couple of weeks and also recorded huge volumes.
instance, HFCL had gained over 200 per cent in the last two
months, while Infosys Technologies shares also moved up by 60 per
cent. While Infosys is currently ruling at Rs 3,500 levels,
HFCL is hovering at Rs 90.
Tele-Systems rose by 125 per cent in the last one month and is
ruling at Rs 110 levels. Rumours are galore in the market that
former bull operator Ketan Parekh is back in action and he is
jacking up the prices of some tech and media scrips.
asked trading details from both the Bombay Stock Exchange and the
National Stock Exchange of these scrips in order to ascertain
whether there is any manipulation on these counters. The markets
regulator is already investigating these scrips, as it realised
the prices of these scrips were manipulated by Parekh during last
said there have been rumours that operators are back in action on
these counters. The Sebi scrutiny may have been ordered to check
the veracity of this gossip, they said. In fact, a number of B2
group scrips are also being scrutinised by the markets regulator,
as some of them have been touching the upper end of their circuit
filters ever since the markets have been on the recovery path.
mostly media counters, where the operators are quite active, the
sources said. There are also talks that the exchanges are
considering the option to bring some of the more volatile scrips
under the trade-to-trade settlement.
had struck a 52-week low of Rs 24.90 in mid-September this year,
closed at Rs 82.75 last week. On 20 November the scrip touched an
intra-day high of Rs 93.25, before closing 8 per cent higher at Rs
hammering of these tech stocks first came under the Sebi glare
during the market crisis in March this year. Infosys had been
hitting the 10-per cent upper filter on
several days in the last couple of weeks. However, reports from
the company stating that it expected to meet third-quarter profit
projections could have helped propel the upward journey of the