Friday, July 29, 2011

Adani Enterprises

Adani Enterprises
Shares of companies like Adani Enterprises,NMDC andJSW Steel fell sharply on the bourses today amid reports that they were among those named in theKarnataka Lokayukta report for unethical practices.

Shares ofAdani Enterprises nosedived by 22.73 per cent to a one-month low of Rs 573 on theBSE during intra-day trade, while NMDC went down by 3.36 per cent to a month's low of Rs 238.25.

JSW Steel also lost 1.77 per cent to a low of Rs 804.65 on the BSE.

As per media reports, NMDC is accused of under-invoicing sales.

Adani Enterprises is also accused of paying bribes and permitting illegal iron ore exports through the Belekere port in Karnataka, the report said.

Another company, JSW Steel, is accused of not only paying bribes, but also of colluding with state tourism minister G Janardhan Reddy to buy illegal iron ore, it added.

The JSW Group has also been accused of paying money to the Yeddyurappa family members for a land transaction in return for pushing the company's case with the central government for acquiring new licences.

The Lokayukta report recommended that the company should be blacklisted and barred from bidding for any government contract.