JP Associates, Videocon may be referred to NCLT; stocks tumble up to 14%

SEL Manufacturing tanked a whopping 14% to Rs 2 on the BSE

Stocks of JP Associates, Videocon, Ruchi Soya and Uttam Galva etc tanked up to 14% on news reports that these companies will be referred to The National Company Law Tribunal (NCLT) if debt issue does not get resolved by Mid-December. 

Reacting to the development, JP Associates tumbled nearly 10% to Rs 21, while Unity Infra shed 12% to Rs 5 on the BSE. SEL Manufacturing also tanked 14% to Rs 2 on the BSE. Meanwhile, Videocon, Ruchi Soya, Uttam Galva, Visa Steel and Nagarjuna Oil also slipped in the range of 4% to 12%.

Reports say the Reserve Bank of India (RBI) may advise the lenders to report these companies to NCLT for bankruptcy proceedings. CLICK HERE FOR THE REPORT