The shares of DB Realty and Money Matters Financial Services (MMFSL) scrips are locked at the lower limit in today's session and have declined more than 45% in the last five trading sessions after the Central Bureau of Investigation (CBI) arrested five officials from state-run lenders, including the chief executive of LIC Housing Finance, for taking bribes to facilitate large corporate loans.
MMFL is trading 10% down at Rs 344 this morning and has declined 50% in the last one week, from Rs 693 on the BSE. The company’s managing director and two top executives were arrested by the CBI in relation to real estate scam and debt syndication of at least four real estate companies to the tune of Rs 5,300 crore since April 2008, according to newspaper reports.
DB Realty has shed another 10% at Rs 191 in this session. The stock is down 47% from Rs 360 on reports that the Mumbai-based realty firm did a loan syndication of Rs 188 crore in March 2010.
GVK Power and Infrastructure, Hindustan Construction Company (HCC), IVRCL Infrastructure, Reliance Infrastructure and Punj Lloyd are some frontline infrastructure companies trading lower by 2-5% on the bourses.
