FM refuses to make off-the-cuff statement on stock markets

New Delhi, May 22: Finance Minister P Chidambaram today refused to make any statement on the recent fluctuations in stock markets, saying ''an off-the-cuff remark'' can have very damaging implications for the bourses.

Responding to concerns raised in the Rajya Sabha by former Finance Minister and BJP leader Yashwant Sinha, Mr Chidambaram said, ''It will be inappropriate to make an off-the-cuff statement. It has to be a considered view...Off-the-cuff remarks can have very damaging implications for the stock market.'' Mr Chidambaram offered to make a statement later in the day in the House.

''I have taken a very serious note of the member's concern. I will come at an appropriate time,'' he said.

The Finance Minister also asked Mr Sinha to restrain his colleagues from demanding a statement from the government on the issue straightaway in the House.

''Mr Yashwant Sinha, who was earlier the Finance Minister, should know it better,'' he said.

Earlier raising the issue, Mr Sinha wanted the Finance Minister to make a statement on ''violent fluctuations'' in the stock markets, saying it was neither good for the government nor for investors.

''It appears both the government and the SEBI have lost control over stock markets. It is the brokers and manipulators who have taken control of it,'' he said.

Mr Sinha also took strong exception to remarks by some Congress members that the crisis in Indian bourses was triggered by similar crises in western countries.

''It is not fair to attribute every crisis in the country to a global phenomenon,'' Mr Sinha said, reminding the treasury benches that they had demanded his resignation in the wake of the UTI crisis.

''It is now my turn to demand a statement from the Finance Minister,'' he said.

Deputy Chairman K Rahman Khan said the government could not be forced into making a statement as there was no proper notice given in this connection.

He also reminded that the House had discussed the issue on Friday.

UNI

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