Simbhaoli soars 11% as co says will clear all dues

Shares of Simbhaoli Sugars ended with a sharp gain of nearly 11 per cent today as the company said it is committed to clear its outstanding dues. The stock jumped 10.92 per cent to end at Rs 15.75 on BSE.

During the day, it soared 15.84 per cent to Rs 16.45. At NSE, shares of the company zoomed 9.47 per cent to close at Rs 15.60. In terms of equity volume, 1.71 lakh shares of the company were traded on BSE and over 7 lakh shares changed hands at NSE during the day. Faced with a CBI probe for alleged loan fraud, Simbhaoli Sugars yesterday said it is committed to clearing its outstanding dues to Oriental Bank of Commerce (OBC) in "due course of time" in consultation with all the lenders. The CBI has registered a case against the company, its chairman Gurmit Singh Mann, deputy MD Gurpal Singh and others in connection with the alleged bank loan fraud of Rs 97.85 crore. In a late night filing to stock exchanges, the company said it had taken finance from banks, for which it has been regular in repayments but for periodical adverse cycles in sugar industry. Recently, OBC - one of the banks in its consortium - has filed a fraud monitoring report against the company and referred it to investigation agencies, it added. "In this regard, the company and its management are in process for submitting requisite clarifications and details to the investigating agencies and are fully committed to cooperating with the investigation. Shares of OBC ended at Rs 96.05, up 0.95 per cent on BSE.

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