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Sebi probes UB Group firms for alleged violations of norms

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Press Trust of India New Delhi
Last Updated : Jan 25 2013 | 5:33 AM IST

The stock exchanges have raised various concerns mainly about two UB Group firms -- Kingfisher Airlines and United Spirits -- for not providing required disclosures and not adhering to deadline regarding finacial results and the Annual General Meeting.

Officials said that Sebi has started investigations into the issues related to Kingfisher and United Spirits Ltd (USL) following requests from the two bourses. The regulator has got information and is in the process of gathering more details, they added.

"Sebi will also look into contradictory statements made about stake sale in Kingfisher to foreign airlines and private equity players. The regulator may seek related information from the lenders also," a senior regulatory official said.

The regulator is also looking at reports about United Spirits selling stake to UK's Diageo Plc, the official added.

When contacted, UB Group spokesperson said that Sebi has sent a set of queries to United Spirits related to an announcement with Diageo Plc.

"The movement in share prices of our group companies has been largely influenced by the wide speculation by the media with no comments from us.

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"Sebi has written to USL with a set of queries following a joint announcement with Diageo Plc on September 25. We have provided the information," an UB Group spokesperson said.

Late last month, Vijay Mallya had said that Kingfisher was in talks with foreign airlines for possible stake sale. However, according to lenders, the domestic carrier was in discussions with private equity players.

  

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First Published: Oct 11 2012 | 5:05 PM IST

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