NSE to suspend trading in Brightcom Group stock

National Stock Exchange, in a circular dated May 14, said that trading in the shares of Brightcom Group will be suspended from June 14, till the time the company does not comply with the Master Circular.

On May 15 at 11 am, Brightcom shares hit lower circuit and were trading at Rs 12.25 apiece.

In February, the Securities and Exchange Board of India (Sebi)refused to lift the securities market restriction imposed on Suresh Kumar Reddy, promoter of Brightcom Group, in a case concerning irregularities in preferential allotments of shares made by the company.

In its order, the capital market regulator had noted that the prima facie findings that Brightcom Group had funded its own preferential allotments and had indulged in round tripping of funds continue to sustain.

In addition, 22 entities were prohibited from disposing of shares of Brightcom Group held by them.