Lok Housing now faces Rs 100 crs Income Tax Liability on undisclosed Income
Lok Housing is on lower circuit at Rs 24.35 today on the BSE on news that it is facing an Income Tax Liability of Rs 100 crs on Income that was not disclosed
On July 7,2008,I had blogged on Lok Housing crashing from Rs 400 to Rs 44 inside six months querying as below
“What’s happening ? With such a performance why has Lok Housing dropped from Rs 400 in Jan this year to Rs 44 today…is there a significant legal issue, inflated asset or liability non provision we don’t know about ?”
Yes there was and now we know what it was…Why did we not know this before? why do Shareholders and Investors have to keep on guessing what is happening in a Company !?…There are mechanisms for immediate and timely disclosures like Listing Agreements.Also Auditing and Accounting Standards and Corporate Governance have to be adhered to in the Annual Report,for disclosure of such significant and sensitive developments…Why are such Mechanisms proving inadquate ? Are they not being followed or implemented properly or do they need strengthening ?