SEBI Chairman critical about 'non-serious' listed companies

Mumbai, July 9 (UNI) Hinting at the huge number of non-serious companies that are listed on the Bombay Stock Exchange (BSE), Securities and Exchange Board of India (SEBI) Chairman M Damodaran today advised the BSE to undertake cleaning up of such companies.

''The companies, which have lost their interest in business, are still listed and they should not have place on the bourse,'' warned the SEBI Chief.

Speaking on the 133rd foundation day of the BSE, Mr Damodaran complimented the BSE for completing its 'Demutualisation' process recently, and said that it was not an end of the things, but a beginning towards a long journey accompanied by several challenges.

Taking a cue from the BSE Sensex surpassing an all time high of 15000 points to close at 15,045 points, Mr Damodaran advised the country's premier bourse not to get excited with the numbers story and try to deliver better to the investers.

''Leave the numbers to tell their own story and be clearly firm on the theme, this is the exchange of future,'' Mr Damodaran said.

Mr Damodaran said that the BSE should look at its immediate competitor, the National Stock Exchange (NSE), for the phenomenal growth it had achieved in a short span.

The BSE, which had over six thousand listed companies, and of them only three thousand companies are actively traded.

The BSE in 2002 had amended its listing guidelines and even created a separate section called 'Z' group, for the non-serious companies in order.

Speaking on the occasion, BSE's CEO Rajnikant Patel said that the country's premier bourse which has been celebrating its 133rd annivarsary, had always been at the forefront to accept the change.

The bourse had struggled a lot to pick up the current pace, but now is geared up and capable to handle the challenges ahead.

UNI