Ashoka Buildcon tanks 20% on heavy volumes

The stock locked in lower circuit of 20% at Rs 136, also its 52-week low on the BSE on back of heavy volumes.

Ashoka Buildcon ended locked in lower circuit of 20% at Rs 136, also its 52-week low on the BSE on the back of heavy volumes after the company said, Income Tax Authorities is carrying out search and seizure proceedings at the premises of the company.

"The company is in the process of collating & responding to all the queries raised by the Income Tax Authorities. The company & its management are fully cooperating with them and providing the necessary documents," Ashoka Buildcon said on clarification on news report.

According to PTI reports, the enforcement directorate (ED) and income tax department (IT) Tuesday conducted joint searches at the office of an infrastructure firm in Nashik.

Three teams of ED and IT department started searches in morning at the office of Ashoka Buildcon in Vadala locality, at a toll naka in Pimpalgaon Basawant on the outskirts of the city and at the house of the owner of the firm, the PTI report suggest quoting sources. CLICK HERE TO READ FULL REPORT.

Ashoka Buildcon on March 26, 2016 said that it has not contributed or financed any of the constructions of Bhujbal family including their bungalow at Nasik. It also clarifies that it has not sponsored the trip of Shri. Sameer Bhujbal then MP to watch and attend the FIFA World Cup in South Africa.  The company always follows ethical practices in the business.

Ashoka Buildcon made the clarification regarding certain allegations had been made in media on 25.03.2016 at Nasik wherein the name of Ashoka Buildcon has been mentioned in respect of certain allegations made against Shri. Chhagan Bhujbal and his family.

The trading volumes on the counter jumped an over four-fold with a combined 6.34 million shares changed hands on the BSE and NSE. There were pending sell orders for 74,642 shares on both the exchanges.