Vakrangee hits 22-month low, stock tanks 84% from 52-week high

The stock is locked in lower circuit of 5% at Rs 81.50, falling for the 10th straight trading sessions on the BSE.

Shares of Vakrangee are locked in lower circuit of 5% at Rs 81.50 per share, falling for the 10th straight trading sessions on the BSE as the media report suggested that the company comes under market regulator and government scanner.

The stock is trading at its lowest level since June 14, 2016, crashing 84% from its 52-week high of Rs 515 touched on January 24, 2018 in intra-day trade. Currently, Vakrangee has market capitalisation of Rs 86 billion have seen erosion of Rs 449 billion during the period.

At 12:52 pm; a combined 169,367 shares changed hands on the counter and there were pending sell orders for 41.63 million shares on the BSE and NSE.

The BSE said the exchange has sought clarification from Vakrangee Ltd on May 07, 2018 with reference to news appeared in economictimes.indiatimes.com dated May 06, 2018 quoting "Vakrangee comes under Sebi, govt scanner after PwC flags concerns". The reply is awaited.

“Auditing major Price Waterhouse has quit audit mandate of technology firm Vakrangee Ltd, flagging concerns to the corporate affairs ministry about the books of accounts, mainly related to its bullion and jewellery business, even as the company denied any irregularities,” PTI report suggested.

The company is also being probed by the Securities and Exchange Board of India (Sebi), which had earlier probed some other entities having traded in Vakrangee shares, about alleged disclosure and corporate governance lapses, regulatory and government officials said. CLICK HERE TO READ FULL REPORT

The board of directors of Vakrangee at their meeting held Saturday, May 5, 2018 has appointed M/s. A. P. Sanzgiri & Co, as statutory auditors of the company for the financial year 2017 - 2018 until the conclusion of ensuing Annual General Meeting to fill in the casual vacancy caused due to resignation of Mi s. Price Waterhouse & Co Chartered Accountants LLP, the company said in a regulatory filing.
 

Vakrangee on clarification on news report said that "the Company would like to highlight that we have not received any communication either from Stock Exchanges or Security Exchange Board of India (SEBI). The rumours of involvement of Company in price and volume manipulation are completely baseless and factually incorrect."