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Wednesday, Dec 21, 2005


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Stock scam

It is heartening to know that SEBI has unearthed a large-scale multiple application case and taken immediate action on it.

It would be fitting and fair if further probe is conducted into the purchase of shares in the IPOs of other companies as well by benami accounts. Action should also be taken against the opening of such benami accounts.

Also, some time back there was talk of penny stocks resulting in heavy losses for investors who trade in such stocks. It is not as if penny stocks have appeared overnight on the stock exchange. Unfortunately, they are often manipulated. The regulator must take prompt action against such operations.

D. Gabriel Jeyaraj

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Letters to the editor and contributions can be sent by e-mail to: bleditor@thehindu.co.in

Pascal Lamy

Director-General of the WTO

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