BUSINESS

Mkt crash: Sebi to punish guilty

Source:PTI
October 29, 2004 15:53 IST

Securities and Exchange Board of India would soon initiate action against those responsible for May 17 stock market crash, which wiped out market cap of over Rs 1,24,000 crore (Rs 1,240 billion), Union Finance Minister P Chidambaram said on Friday.

The capital market regulator was in the process of completing the report on the May 17 crash and would submit it soon, Chidambaram said at a function marking the 10th anniversary of National Stock Exchange in Mumbai.

Sebi would initiate action against those found guilty, he added.

In the worst ever "bloodbath" in the history of Indian bourses, BSE-30 Index (Sensex) nosedived by 565 points on May 17, 2004, following uncertainty over the economic reforms. The meltdown forced the BSE to suspend trading twice to contain abnormal volatility.

This steep decline is the second largest after 1992 stock scam when the BSE index collapsed by 570.42 points or 12.77 per cent.
Source: PTI
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