Stocks

ZEEL shares fall over 3% after former directors flag issues

PTI New Delhi | Updated on November 28, 2019 Published on November 28, 2019

Shares of Zee Entertainment Enterprises on Thursday lost over 3 per cent in early trade after the company said two of its former directors had raised concerns over several issues.

In early session, shares of the company fell 3.11 per cent to a low of ₹309.55. On the NSE, the scrip touched a low of ₹309.40, down 3.16 per cent against its previous close. At 1.05 pm, the stocks of Zee Entertainment were trading 2.05 per cent lower at ₹312.95

Two former directors of Zee Entertainment - Subodh Kumar and Neharika Vohra - who resigned from its board, had raised concerns over several issues, including ₹2,200 crore film advance given in 2018-19, according to a regulatory filing by the firm.

Read more: Two ZEE Entertainment directors resign over management decisions

Kumar and Vohra also raised the matter of “a scheduled bank” appropriating “₹200 crore of the company’s fixed deposits towards promoter loans and the management did not take legal action.”

ZEEL, however, said issues pertaining to the wrongful revocation of the bank guarantee stand resolved with the company having being secured by the promoter companies and appropriate legal notices were sent to the bank at the relevant time.

Published on November 28, 2019
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