MC Insider: No ‘sparkle’ in the eyes of lenders to this firm, photography/videography not allowed, grey areas in PMS & more

WhatsApp groups can be a boon as well as a bane. You may love them or hate them, but you just can't ignore them in the modern age. Here's a scenario that should make you chuckle! The erstwhile head honcho of this key sarkari body seems to be suffering from withdrawal symptoms. Or is it an acute case of FOMO? A little birdie told us this gentleman continues to remain on the sarkari body's WhatsApp group despite a new top boss! Folks in this group are in a fix and no one wants to bell the cat and gently remind their ex-boss to exit. Talk about an awkward situation!

Revenues of this firm in a 'sparkling' segment have dipped drastically in the past few years and the stock price too, has been through a rather volatile phase. Punters might like the company, but we hear its lenders are not an impressed lot and may have issued loan recall notices. If rumours on D-Street are to be believed, when one of the lenders visited a particular outlet, the inventory claimed in the books allegedly did not exist!

If the market regulator wants a mutual fund manager to film his/her visit to a company's plant, one must comply. After all, no one wants to get into the watchdog's bad books. So, a money manager on a plant tour was capturing every step with his high-end phone. All was going well, until a security guard came running out of nowhere, snatched the device and smashed it on the plant floor.
"Photography/Videography not allowed," the guard yelled. And just like that, the mutual fund manager said goodbye to Rs 60,000! If this is not costly compliance, tell us what is!

Speaking of regulations, the portfolio management services (PMS) industry is dealing with many grey areas. One, of course, is the issue of certification exam. Why is an equities guy required to answer questions on debt funds and vice-versa, asks a CIO. "And, what about the sales people in a PMS firm? What exams are they supposed to take?" he further questions. His CEO, who was sitting next to him, had a sullen look. Some feathers were ruffled, for sure.

The recent face-off between an industry body and entrepreneurs over a proposed legislation has caused disquiet among founders, While some are very vocal against the influence of foreign hands in Indian legislation, others say this seems to be a case of much ado about nothing. "Most of the opposition is being driven by another industry grouping backed by a prominent fintech entrepreneur. In fact, the legislation is also likely to harm them. So, we are not sure why they are opposed to us opposing it," a source told us.

This start-up coming under the radar of an enforcement agency has only exacerbated the ocean of bad news that it seems to be drowning in in the last one year. While many investors said it was too early to call how this would end, one recalled how another case involving yet another prominent start-up is yet to see closure. This person further said due diligence for start-ups raising money would likely increase as investors turn extra cautious and risk averse post this episode.

Recent speculation of a merger between two start-ups (X and Y) stirred the hornet's nest in India's start-up ecosystem. Most believed that it was a sign of some sort of consolidation in a sector that was one of the pandemic's biggest beneficiaries. While we hear that the merger deliberations are still ongoing, a third rival, wants in on the deal. It was keen to come across as a knight in shining armour that would rescue X from its woes. However, this ploy did not go down well with X which always had a poor opinion about this company. The jury is still out on who will save whom here!