Sun TV stock tanks on news CBI could prosecute Maran
Shares of the company fall 10.94% to `355.85 apiece on BSE
Chennai:Sun TV Network Ltd’s stock tumbled on Thursday following a television report that promoter Kalanithi Maran may be prosecuted by the Central Bureau of Investigation (CBI) in the case related to irregular spectrum allocations.
The Chennai-based media company fell 10.94% to ₹ 355.85 a share on BSE after news broadcaster ET Now reported, citing unnamed people, that the probe agency had found incriminating evidence in Malaysia to prosecute Maran and his brother, former Union telecom minister Dayanidhi Maran.
The benchmark Sensex closed 1.12% lower at 18,827.76 points.
If the CBI indeed has found substantial evidence to incriminate Kalanithi Maran the stock will be in trouble despite Sun TV’s strong fundamentals, said a Mumbai-based analyst who did not want to be named.
On 10 October, 2011, the Sun TV stock lost 7% after the CBI raided the premises of both the Maran brothers.
The agency has booked Kalanithi Maran, the promoter of Sun TV, Maxis Communication Bhd owner T. Ananda Krishnan, senior executive at Maxis Ralph Marshall, as well as Astro All Asia Network, Maxis and Sun TV in the second-generation spectrum case on charges of criminal conspiracy and the Prevention of Corruption Act.
Former Aircel Ltd owner C. Sivasankaran has alleged that Dayanidhi Maran, as the Union telecom minister between February 2004 and May 2007, had favoured Maxis group in the takeover of his company, and that, in return, investments were made by Maxis through Astro in Sun Direct, the direct-to-home arm of Sun TV.
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