BSE to suspend 52 companies for non-compliance of various clauses of the Listing Agreement

As per the provisions of Securities Contracts (Regulation) Rules, 1956 and the Rules, Bye – laws and Regulations of the Exchange, a Company listed on Bombay Stock Exchange Limited is required to comply with various clauses of the Listing Agreement, failing which trading securities of such defaulting companies is liable for suspension.

Accordingly, despite giving various reminders and subsequent show-cause notices, 52 companies (list enclosed as Annexure 1), have failed to comply with various provisions of the Listing Agreement till quarters ended December, 2005.

Consequently, trading in the securities of these 52 companies listed on Bombay Stock Exchange Limited will be suspended with effect from 20th September, 2006 on account of non-compliance with the provisions of the Listing Agreement, for the following period -

1. in case, any of these companies comply with all the provisions of the Listing Agreement prior to the date of suspension (i.e. 20th September, 2006), trading in securities of such company will be suspended for Five Trading Days i.e. upto 26th September, 2006
2. in case, any of these companies comply with all the provisions of the Listing Agreement after the date of suspension (i.e. 20th September, 2006) but within 1 month of date of suspension (i.e. upto 20th October, 2006), trading in securities of such company will remain suspended upto 20th October, 2006.
3. in case a company does not comply with all the provisions of the Listing Agreement, before 20th October, 2006, trading in securities of such company will remain suspended till such time the company complies with all the clauses of the listing agreement and also completes the formalities for revocation of suspension as prescribed by the Exchange from time to time

Suspension of trading in securities of a company will be revoked only if the company complies with all the provisions of the Listing Agreement upto the latest quarter for which the compliance is required.