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A Lion’s eye on the Bulls and Bears

“In India, companies may fall sick, but promoters rarely do!”

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Austral Coke

Thinksoft Global crashes to Rs 221 (more fall indicated) from Rs 544 in just 10 trading days…..SEBI and BSE must probe this Company to maintain sanctity of our Markets

I had warned Investors of Thinksoft Global IPO in September 2009

Don’t ThinkHard about ThinkSoft Global Services’s IPO at Rs 120-130…Ignore it

However on Listing it kept defying gravity and on February 11,2010 it zoomed to a record high of Rs 544 with record Volumes

But since then in just Ten Trading days and Eight continous lower circuits,beginning with two 20% drops,then as lower filters were applied,a 10% drop,followed by now Five 5% lower circuit filters,Thinksoft Global has crashed today to a lower circuit of Rs 221.30

The Share Price and the Volumes were set up past one month…Have a look ….Something Stinks really Big Time Foul here

…methinks SEBI and BSE must quickly and conclusively bring the perpetrators to task,if they have to maintain the sanctity of our  Stock Exchanges and protect the sucker of the small Investor….

Classic case of Greed and Fear….we’ve seen such situations play up before too…like in the Austral Coke Company…dropped from near Rs 200 levels to under Rs 10 now

….The authorities must investigate any Promoter/Major Shareholder/Broker/Operator nexus in such cases…Such movements rarely occur without a criminal nexus…..Poor Retail and some HNWI suckers get trapped by this manipulation  

 Investor Education and Protection is one of the key purposes why I began this blog…to express my  concerns on several companies…In the recent past,Cranes Software and Karuturi Global…even Austral Coke ! and Thinksoft Global

However distasteful,unpleasant,bad,loss making Equity experiences should not permanently deter you from the Beauty of Equity…..A basket of Apples will have a few Bad ones !….Some are easy to Spot,some look great on the outside ,but are infested with Worms on the Inside……Learn to spot these worms and avoid such seemingly great Apples ! 

Be warned….There are many out there…. always on the Prowl to seduce you to lose Monies…because they make Monies,only when you lose !…and they have perfected the art of Seduction !….and think about this !…what chance do you stand against the 6000+ seductions listed on BSE !…and you will be double careful !

I reiterate my Quote “India and Insider Trading are Inseperable !”…which I discuss and debate in my sessions at various forums

Cheers !

SEBI bans Austral Coke from raising Capital…was it sleeping when it allowed it to raise Capital through an IPO last year !?

It can’t be just a coincidence that this is my Blog Post No 420 !

Austral Coke came out with it’s controversial IPO in August 2008 in the price band Rs 164-Rs 196 for a FV Rs 10 share…The price was fixed at Rs 196 and it got listed on BSE on September 4,2008 rising to Rs 309,before closing at Rs 225…On October 28,2008 it dived below Rs 60 and since then has recovered to touch a high of Rs 570 last month before reacting ex split and post SEBI ban to Rs 48 today

The Company recently sub-divided the share into FV Rs 1 and it closed at Rs 48 today after SEBI banned it from raising capital…following disclosure by the Income Tax Authorities of Fradulent transactions of over Rs 1000 crs !

SEBI should have investigated it more last year before permitting the Company to raise Capital through an IPO.I had blogged this controversial IPO on August 8,2008 commenting that SEBI should have then itself verified claims of the Company on it’s capacities that were contested by Gujarat NRE Coke

Austral Coke went on to raise Capital in the IPO and it has now been also accused of diverting the proceeds too.

SEBI needs to get real serious about it’s prime objective of Investor Protection without fear or favour and probe Insider Trading more stringently

Expect the share price to fall further from Rs 48…if it does not then you know it’s being supported artificially by the company

If you hold the share,I would strongly advice you to sell as Promoters’ credibility continues to be suspect..and regulatory and tax authorities will continue to have Austral Coke under a heavy scanner…….and if you are an IPO allottee you’re already sitting on over 100% long term  gains….Take them

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