Wednesday, December 24, 2008
Pyramid Saimira: SEBI Investigation
A couple of days ago, the media carried reports of SEBI having directed one of the promoters to make an open offer to the shareholders of Pyramid Saimira Theatres Limited at a price that is at a substantial premium to current market price. However, just a day later, SEBI put out a clarification that it had issued no such letter, which appears to have been forged. Sensing some foul play, SEBI has ordered an investigation, including on allegations of price manipulation. While the company has alleged fraud, others have suggested there are larger issues of corporate governance involved.