Money Matters Financial Services will set up a panel to manage day-to-day operations, following the arrest of its Chairman and Managing Director Rajesh Sharma by the Central Bureau of Investigation (CBI) in a bribery case.
“The board (of the company) was requested by the management to make interim arrangements for payment of salaries to staff, payment of statutory dues and day-to-day expenses.
Considering the request by the management, the board resolved to constitute a committee for the interim period for making essential payments as stated above,” the company said in a notice to the National Stock Exchange.
CBI had on Wednesday arrested three officials of Money Matters Financials on allegations that they bribed bank officials to facilitate corporate loans.
The company also said it has deposited Rs 445 crore raised through a qualified institutional placement in a fixed deposit, which cannot be “withdrawn or managed in any manner without prior approval of the board”.
Shares of the company today were locked in the 10 per cent lower circuit at Rs 345.95 on the National Stock Exchange.
