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ADAG shares gain post CAG stand, R-Infra surges 5%

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SI Reporter Mumbai
Last Updated : Jan 21 2013 | 2:31 AM IST

The Anil Dhirubhai Ambani Group (ADAG)-promoted companies' shares are in limelight in an otherwise weak market on reports that the Comptroller and Auditor General (CAG) has softened stand on the issue of the government allowing windfall gains to Reliance Power. Now, the company can divert surplus coal from Sasan and Tilaiya ultra-mega power projects' captive mines to fuel its other plants.

Besides Reliance Power, other ADAG stocks such as Reliance Infrastructure (R-Infra), Reliance Communications, Reliance Capital, Reliance MediaWorks and Reliance Broadcast Network are trading higher by 1-5% each in morning trades on the Bombay Stock Exchange, as against over 1% drop in the benchmark Sensex.

The final draft of a report on performance audit of coal mine allocations, prepared by CAG's principal director of commercial audit, accepted the power ministry's argument that the provision of such diversion of surplus fuel from captive mines was part of the original bid documents.

Meanwhile, the exit poll surveys showed the Samajwadi Party winning by far the largest number of seats in the legislative assembly of Uttar Pradesh also fuelled rally in ADAG stocks.The results will be declared tommorow

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First Published: Mar 05 2012 | 12:03 PM IST

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