Canara Bank files fraud case against DCH, shares down

Shares of Hyderabad based media company Deccan Chronicle Holdings fell 2.5 percent on Thursday after the Canara Bank, one of the lenders, filed fraud case against the company with Central Bureau of Investigation (CBI).

At 11:11 hours IST, the stock was quoting at Rs 3.89 on Bombay Stock Exchange.

The National Stock Exchange suspended trading in the stock since January 22, 2013 after the company failed to comply with the listing agreement.

In February, the board of directors of the company approved the draft scheme of arrangement with creditors/lenders including the demerger of undertaking of the company.

The stock has been trading in single digit since the past six months due to failure of debt repayment.

Deccan posted a loss of Rs 100 crore for the quarter ended September 30, 2012 against a profit Rs 21.09 crore during the corresponding quarter last year. The promoters' stake in the company has been reduced to 38.40 percent from 73.83 percent, as on September 30, 2012.