MCA to probe shareholding pattern of 12 listed firms

The Ministry of Corporate Affairs (MCA) will probe management and auditors of 12 listed companies, including Raj Television Network and Surya Lakshmi Cotton Mills, for allegedly providing false information about the shareholding pattern.

"MCA believes the 12 companies under scanner furnished false info regarding their share breakup to Regional Directors (RDs)," an official said.

The ministry is likely to soon ask the Regional Directors concerned to probe role of auditors of the companies and also of their top management.

"If found guilty, top officials of the companies could face jail term of up to two years and the auditors could lose their licence," the official said.

Examination of these companies, he said, showed "abnormal" number of shareholders.

Two companies had only one shareholder each, while another firm showed it has 29.20 crore shareholders, he said.

The companies, which are under scanner are Deevee Commercials, Greenearth Resources & Projects and Karuna Impex Enterprises (all Kolkata based).

Naturite Agro Products (Hyderabad), Raj Television Network (Chennai), Suryalakshmi Cotton Mills (Secunderabad) and Turbotech Engineering (Mumbai).

Welterman International (Vadodara), Karmath Leasing & Holdings, Parv Holdings, Eastern Fibre Industries and Mahan Eximp.