ICICI Securities shares down over 2 pc

Shares of ICICI Securities fell over 2 per cent today amid reports of Sebi flagging certain violations with respect to bidding during the company's initial public offer.

The stock declined 2.30 per cent to settle at Rs 318.60 on BSE. During the day, it lost 3.21 per cent to Rs 315.60 -- its 52-week low.

At NSE, shares of the company fell by 2.19 per cent to close at Rs 319.10.

Meanwhile, mixed trend was seen in other ICICI Group stocks, with ICICI Bank falling 1.62 per cent, ICICI Lombard General Insurance rising 1.39 per cent and ICICI Prudential Life Insurance Company gaining 0.58 per cent on BSE.

Regulator Sebi is believed to have found ICICI Prudential MF in violation of rules during the last day bidding for IPO of ICICI Securities and has asked the fund house to pay back Rs 240 crore, with 15 per cent interest, to its five schemes from which the money was taken for the shares.

Besides, the fund house has been asked to pay the investors who have redeemed their units since allotment of shares in the initial public offer, after calculating the loss incurred by the respective schemes due to fall in the ICICI Securities share price, sources said.

Investors will need to be given an interest of 15 per cent, Sebi has said in a letter to ICICI Prudential AMC.

When contacted, the fund house declined to comment.

In March, ICICI Securities came out with its IPO for 77,249,508 shares, with a price band of Rs 519- 520. It had reduced the size of the offer to a little over Rs 3,500 crore after the sale elicited a sluggish response, especially from high net worth individuals.