Caution Against Recent Unaudited Quarterly Results Declared By Companies

It has been observed by the Exchange, that, recently, there has been a spate of advertisements in newspapers by few companies which are traded on the Exchange in the B2 or the Z category. Such companies have , vide such advertisements declared quarterly unaudited results for the period ended on the December 31, 2003. It may be observed that these unaudited results, on a close reading, may appear to indicate an extra ordinary level of improvement in the Company. In certain cases, it may be observed that, the figures of Sales/Turnover for the quarter ended on December 31, 2003, has increased manifold. Further, these companies also appear to be giving additional information viz. placing of preferential issues in a tentative price range, names of the current/potential major shareholders, proposed high dividend and/or bonus, in the footnote to their unaudited results which are published in the aforesaid newspapers.

Members of the Exchange and investors are hereby cautioned to exercise due and proper care and to check the credentials of such companies and announcements, before making investment decisions or transacting in such scrips.

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