Simbhaoli Sugars shares slump 16% on loan default case

Shares of Simbhaoli Sugars plummeted nearly 16 per cent today as CBI registered a case against the company, its chairman Gurmit Singh Mann, deputy MD Gurpal Singh and others in connection with an alleged bank loan fraud of Rs 97.85 crore.
The stock dropped 15.73 per cent to end at Rs 14.20 on BSE. During the day, it plunged 19.88 per cent to Rs 13.50 - its 52-week low.
At NSE, shares of the company dived 15.17 per cent to close at Rs 14.25.
Simbhaoli Sugars is one of the largest sugar mills in the country.
BSE has sought clarification from the company on this issue.

The CBI yesterday carried out searches at eight premises including residences of the directors, factory, corporate office and registered office of the company in Delhi, Hapur and Noida, CBI spokesperson Abhishek Dayal had said.

State-owned Oriental Bank of Commerce today said Simbhaoli Sugars is an old NPA account of the bank and the first case was registered with CBI in September 2015.
"First complaint to CBI was filed on September 3, 2015 and amended complaint was filed on November 17, 2017. The case has now been registered as per procedures," the bank said in a regulatory filing.
Shares of OBC also plunged 10.02 per cent to close at Rs 95.15 on BSE. During the day, it slumped 12.52 per cent to Rs 92.50 - its 52-week low.