BSE to suspend trading in securities in 18 companies with effect from January 4

The action follows these companies not complying with the various clauses of the Listing Agreement, the exchange said in a release here.

http://www.dnaindia.com/money/report_bse-to-suspend-trading-in-securities-in-18-companies_1319324  The companies are Harig Crankshafts, Prag Bosimi Synthetics, Rathi Ispat, Harvic Management Services India, Wisec Global, International Hometex, Advance Multitech, Konkan Tyres, Hinafil India, Virtualsoft Systems, Sri Jayalakshmi Spinning Mills, Sriven Multi Tech, Padmanabh Alloys & Polymers, Nuway Organic Naturals India, IFSL Ltd, Triumph International Finance India, Vital Communications and IQ Infotech.

In case a company complies with all the provisions of the agreement on or before December 24, trading will be suspended for five days (up to January 8, 2010), it said.

If a company complies on or before January 18, 2010, then the trading in its securities will be suspended for 30 days (up to February 4, 2010), BSE said.

However, if a firm fails to comply with the agreement on or before January 18, the suspension will continue till such time the company complies with the rules prescribed for revoking suspension in a scrip, the release said.

These stock would face selling pressure and investor should avoid buying these stock, as out of 3000Companies listed in BSE if these 18 Companies are not able to abide by the rule then there is serious problem with these companies, my advice would be to avoid such stocks.