It has been observed that recently there has been a sudden spurt in the trading of the scrips, which were either not being traded at all previously or had very thin volumes. Many of these companies are listed in Z Category of stocks, which are settled on a Trade - to - Trade basis i.e. no netting of trade is permitted. It is also observed that the prices of such scrips have moved to higher level with small quantity being traded.

Further, as per the prevalent policy, on the opening day of trading of the scrip post revocation of suspension, there are no price bands, in order to allow the market to discover the price of the scrip.

While some of the companies may have improved fundamentally and financially, there may be companies, which may not have any such improvement in their business activity to support the significant price rise. The investing public is requested to note the quality of companies especially the group in which the scrip is placed at the Exchange before dealing in such scrips. If a sudden spurt in the volume/price is noticed, please exercise caution while dealing in such stocks.

The Exchange will take appropriate action including suspension of trading in the scrips if the companies are found to be involved or acting in collusion with any person to defraud investors.

This is being issued in the interest of investing public in general.