Financial Technologies (India) Ltd, the promoter of payment crisis-ridden National Spot Exchange Ltd (NSEL), today asked for support from the Government and investors to tide over the current crisis. The company's top boss also said that it will recast new accounts soon and asserted that its profitability was not impacted to the level of 50 per cent as the market buzz says.
Financial Technologies shares on the Bombay Stock Exchange plunged as much as 10.25 per cent to close at Rs 150.20 on Wednesday.
Speaking to reporters on the sidelines of company's annual general meeting today at Chennai Jignesh Shah, chairman, Financial Technologies said that after few years for the first time he is coming to attend the AGM to show his solidarity and commitment to the shareholders.
"I strongly believe I have an equal responsibility to FT minority shareholders. At the same time we understand the pain of the investors and I am going to have the dialogue with the NSEL Investors Forum. Please understand that this company should not be judged by NSEL," said Shah.
He further stated that one should not take away credit of this institution and we have built exchanges like MCX-SX, IEX and FT itself. "Financial markets is our dear customer," said Shah, who said he understand the pain caused by NSEL.
Shah urged the investor forum to work with the company and he said the company will work on all its capacity and at its permitted level go after the 23 planters who have actually taken the money and will try to recover the maximum money.
"And if we can get any support from the government, it will be desirable and I fully understand the Government's stand, its an exchange unregulated and you all know that we have been a victim and the fraud has happened whatever it is," said Shah, who declined to elaborate what kind of support he required from the Government. "Soon we will come out with a formal paper".
On how much time it would take to set things right, Shah replied saying "you have to ask Lord Balaji. What I can say is we want to focus really. More combined force we are we will able to recover. First I will meet the investor forum. My individual thoughts may not be that great importance, let be institutionalized".
On Deloitte's withdrawal of the audit report, he said "It will be recast based on NSEL new feedback". Deloitte withdrew its report as the auditors of NSEL on September 21. The audit report was signed before the NSEL payment crisis broke out. NSEL's revenues are regrouped in the FT's balance sheet.
On Tuesday, FT informed the BSE that it has postponed its shareholders' vote on adoption of the company's balance sheet and profit and loss accounts for the fiscal year ended March 31, 2013.
To a question on the market buzz that FT's profitability was impacted by almost 50 per cent, he said, "people say it was 50 per cent, but it was not. The total Gross Profit Margin was more than Rs 500 crore and Rs 300 crore from the international exchange. So it is not 50 per cent".
via Business - Google News http://news.google.com/news/url?sa=t&fd=R&usg=AFQjCNGhdhJLcXSpjTl_r3sXBWltgez6fw&url=http://www.business-standard.com/article/markets/fin-technologies-seeks-govt-investors-support-on-nsel-crisis-113092500934_1.html
Put the internet to work for you.
0 comments:
Post a Comment