NSE probing trades in Gitanjali Gems

The National Stock Exchange is investigating transactions of Prime Broking and related entities in the shares of Gitanjali Gems. The bourse has, meanwhile, halted pay-out of the deals under scrutiny.

"Pending conclusion of investigations, as an interim measure, pay-out for today in respect of the transactions under investigation has been withheld by the exchange. Intimation in this regard has been sent to respective members," said a late evening statement on Friday from the exchange.

The stock hit a 52-week low of Rs 233.9 on Friday, having nearly halved from the beginning of the week. Gitanjali operates in the gems and jewellery segment, with total revenue of Rs 10,381 crore for financial year ending March 2013. It had a net profit of Rs 265 crore, according to exchange data.

Asked for comment, Mehul C Choksi, managing director of the company, stated he was unaware of the order. Business Standard was unable to get in touch with Prime Broking for comment.