The Securities and Exchange Board of India (Sebi) has asked the National Stock Exchange and the Bombay Stock Exchange to provide information about all private placements made in the last one year or so.
The information sought covers details such as the parties involved, the prices at which the deals were finalised, the prevailing market prices and the current status of the shares then placed.
The details are being sought in light of the fact that preferential allotments or private placement deals of DSQ Software, and more recently Pentamedia Graphics, were found to have irregularities.
According to sources, the information sought would help track all private placements done and ensure that the lock-in norms were being adhered to.
In the case of Pentamedia, exchanges are investigating how shares issued on a preferential allotment basis and with a lock-in period of one year could get into the market.
Documents available with Business Standard suggest that the disputed shares are now pledged with Centurion Bank, in violation of all existing guidelines.
In the case of DSQ, the company, in the course of its acquisition of Fortune Technologies, had made an allotment of shares to three overseas corporate bodies (OCBs) based in Mauritius.
However, the company reportedly gave conflicting information regarding these OCBs and finally the entire allotment as well as the acquisition was cancelled.
Officials said the information being sought has gathered more relevance, particularly since August, when Sebi's one-year lock-in period for private placements came into effect.
Many parties with whom shares were placed privately, took steps to reverse the deals after the lock-in norms were announced.
Nimbus Communications was one such company. Its private placement with an OCB, Transatlantic Corporation, was cancelled after the lock-in norms came into effect.
