Jet Airways hits lower circuit for 4th straight day on SFIO probe report

Shares of Jet Airways (India) were locked in 5 per cent lower circuit at Rs 60 for the fourth straight day on the BSE on report that the government has ordered Serious Fraud Investigation Office (SFIO) probe against the grounded airline.

The BSE, on July 5, sought clarification from Jet Airways with reference to the news. The airline is yet to reply.

In the past four days, the stock has dipped 18 per cent, as compared to a 2 per cent decline in the S&P BSE Sensex. The trading volumes on the counter dropped sharply as the stock shifted to ‘T’ group category from June 29. Under this category, delivery of shares is compulsory.

Till 11:58 am, around 19,500 shares had changed hands, against an average more than one million shares traded in the past two weeks on the NSE and BSE. There were pending sell orders for 463,000 shares on both the exchanges.

According to a Business Standard report, the government has ordered an investigation into grounded Jet Airways and its group companies for alleged diversion of funds, indulging in malpractices and other financial irregularities found during an inspection.

SFIO has been directed to complete the investigation within six months and submit its report to the government, the report said. CLICK HERE FOR THE FULL REPORT

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