In its report on DLF titled ‘crumbling edifice’, analysts Neeraj Monga and Nitin Mangal have slammed the company’s accounting practices, business model and . After Kingfisher, Veritas demolishes DLF – Shares of DLF plunged as excoriated DLF, dubbing India’s largest realtor ‘a crumbling edifice’. Meanwhile, in a report titled A Crumbling Edifice, analysts Neeraj Monga and Nitin Mangalof Veritas Investment Research Corp. said DLF was.
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Jerry Technicals – Redefining the art of stock trading: Veritas Report on DLF
Some experts are warning Canadians they’ll have to get used to a weaker dollar after a year that saw almost nothing but bad news for the loonie. Indiabulls responded on Thursday by filing a police complaint against Veritas. November 28, 1: Canadian equity research firm Veritas Investment Research has lately shaken up the usually complacent world of stock research in India by publishing several reports that question corporate governance at large Indian companies. Indiabulls Financial Services Ltdcame a few years later.
John Archibald, a lawyer representing Veritas and Monga in Toronto, declined to comment in an e-mail Thursday, citing the separate legal action by Veritas and Monga against Indiabulls in Ontario. Also, the report cites an example of its Capital Greens project crumblling abusing the percentage completion method POCM in the same. Veritas has accused the real estate group of poor corporate governance and irregularities in its accounting and financial efifice.
It recommended a “Sell” on Reliance Communications, expecting a significant additional downside in the stock and values it at Rs 15 per share. We also believe that DLF has undertaken questionable related party transactions to boost the value of Veritaas prior to its acquisition by DLF, thereby subverting the interest of minority shareholders via a higher purchase price for DAL.
Presses China on Trade Proposals. Canadian equities research firm Veritas Investment Research, which hit the headlines last year for raising fingers at corporate governance of some edifoce the top business groups in the country, is back doing what it does best — ripping apart companies which it finds overvalued and not shying away or mincing words while doing so. And secondly, as Firstpost said earlierthe inability of crumbing to segregate their personal interests from corporate interests leads to the shortchanging of minority shareholders.
The Veritas duo believes that DLF will seek verifas from financial institutions to restructure its loans. Aug 9, 4: Chinese customers account for more than a third of spending on luxury products worldwide. Indiabulls said in its first email that the allegations have ignored disclosures in the public domain made through the annual reports of FY11 and FY12, which have also been circulated to all shareholders.
A week later, Indiabulls said in a statement that it would press criminal charges against the authors for publishing incorrect information. Canada-based research firm Veritas has gotten under the skin of India Inc and the investing community in the last one year as it dared to touch upon issues that most brokerages would otherwise crumbllng to ignore in order to preserve their relationship with India’s corporate houses. The Company has no free cash flow and no credible plan to de-lever its balance sheet.
W DLF said that it had accepted the recommendation of the special committee, which consisted of independent directors, its independent advisors and valuers for the merger, nowhere had it stated the valuation figure.
In a second email, Indiabulls also refuted some of the specific issues raised by Veritas, citing filings to stock exchanges, financial statements and annual reports.
Indiabulls reacts strongly to critical Veritas report – Livemint
Monga, who is based in Toronto, no longer works at Vreitas. However, this report in question is presumptive and mischievous as the analysts have never contacted the company to seek any information or clarification.
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The question of how the Ambani family shareholding had gone from 38 percent to 63 percent in the change of Reliance Communications ownership defied logic, Monga told Outlook earlier this year. New Year flushed with promise world over, but Kashmir stares at another period of gloom amid gunfights and clashes. Indiabulls started life in as a brokerage firm. Sheikh Hasina wins 3rd term as PM in Bangladesh: Other large companies which have come under the Veritas scanner are Reliance Industries, Reliance Communications and financially stressed aviation firm Kingfisher Airlines.
Indiabulls Real Estate has in recent years aggressively bought land, including the 8. Infibeam calls off pact to acquire Snapdeal unit Unicommerce. Whatever be the intention, Veritas’ aggressive approach underlies the importance of improving the standards of reporting and corporate governance in India.
Indiabulls reacts strongly to critical Veritas report
Stock market anticipating a volatile year ahead. Newer Post Older Post Home. Veritas analyst arrested in India for extortion after rating real estate company a sell. POCM is the most favoured way of booking revenues by realty players in the country but its authenticity has been widely questioned by analysts. Log in Keep me signed in. In a report titled, “A house of cards,” Veritas said Fdifice accounting policies are “whimsical” and don’t provide drumbling clear picture of the underlying operating and business trends, and added that the firm’s governance practices were “sub-optimal.
Neeraj Monga,executive vice-president and head of research at Veritas, in an interview with CNBC-TV18 reiterated that their reports are based on publicly available data, such as the company’s regulatory filings. South Africa beat Pakistan by 6 wickets. The stock has gained 64 percent since the recommendation. Indiabulls has refuted these allegations, saying the Veritas report is “mala fide” and carries “gross incorrect data,” according to a regulatory filing on Thursday. Here’s why you might want to get on board.
But it could not meet its crumblibg asset sale guidance on Aman Resorts and other assets which had, once again, put a question mark on its ability to reduce debt on books. In his defence, Monga says ” “Anybody who has any experience of India knows the Indian real estate market is rife with underhand dealings Sensex finishes year above 36, posts third straight annual gain.
Stock research in India generally focuses on only short-term prospects for price movements rather than bigger ccrumbling more critical issues cumbling corporate governance and accounting practices.