Dont get suckered by “Buy” Sawaca Business SMS floating around past few days.It claims a Target of Rs 120 in days from current Rs 72 based on this Company receiving an order of Rs 18000 crs ! yes 18000 crs!, from UAE ! and asking the receiver of the SMS to check a link given that leads to BSE website Notification by the Company and reproduced verbatim as below
17 Dec 2015
Board to consider Bonus Issue
Sawaca Business Machines Ltd has informed BSE that a meeting of the Board of Directors of the Company will be held on December 28, 2015, inter alia, to transact the following business:1. To consider for increase the Authorized Share Capital of the Company.2. To consider for issue of Bonus Equity Shares to the existing shareholders of the Company.
3. To consider for the listing of shares of the Company at the National Stock Exchange Limited (NSE Ltd.)
Sawaca Business Machines Ltd has informed BSE that meeting of the Board of Directors schedule to be held on December 28, 2015 at 11.00 a.m., is postponed. The Chairman has decided to postponed board meeting to be held on December 28, 2015 as it is not possible to have fruitful discussion on meeting’s agenda’s matters due to non-availability of majority directors.
The MD is one Shetal Satishkumar Shah and worryingly BSE website also shows another Company Sawaca Communication which was suspended way back in February 12,2003 for penal reasons and had a last quote of just 30 paise on a FV Rs 10 share.I am assuming this company too was part of the Sawaca’s Shah Family as it bears the same Name ‘Sawaca,is from Ahmedabd and had one Shah as Director
What is BSE doing !?
They must immediately launch an investigation and file a complaint with the Cyber Crime Police Dept to find out who is spreading the SMS and also insist on a legit clarification from the Company on why they cancelled the Board Meeting on December 28,2015 on the grounds of non availability of Directors and how in the hell could they consider Bonus with Reserves of just Rs 88 lakhs and Equity of Rs 10.40 crs !…and how with just Market Cap of Rs 75 crs were they planning to list on NSE too !
It is my strong suspicion that there exits a notorious nexus between those who are spreading the Buy SMS & those creating the Volumes on BSE
BSE & SEBI do something concrete and quick & not just general alerts to be beware of SMS Recos !
Only specific action will deter such illegal and fradulent practices ~ This alone will be a Real Investor Awareness & Protection Measure