The shares of Sammaan Capital jumped nearly 4 percent on November 20, sharply recovering all intraday losses after the company clarified that Supreme Court's case related to alleged irregularities at the NBFC was related to an erstwhile promoter who is no longer associated with the company.
The shares rose to Rs 165.50 apiece in the morning of Thursday. This implies an intraday jump of more than 9 percent from the day's low of Rs 151.41 apiece.
Background:
Sammaan Capital in an exchange filing explained that the case in the Supreme Court is based on an appeal against an earlier order by the Delhi High Court, which in February 2024 dismissed a plea by Prashant Bhushan’s Citizen Whistle Blower Forum (CWBF).
The plea claimed there were irregularities in lending practices of Sammaan Capital, involving loans to five borrower group companies, and alleged quid pro quo between the five borrower groups and the erstwhile promoter Sameer Gehlaut.
The petition sought directions for investigation by statutory and regulatory authorities, including Reserve Bank of India (RBI), National Housing Bank (NHB), market regulator SEBI and Ministry of Corporate Affairs.
"The statutory and regulatory agencies found no wrong doings by SCL in relation to the loans granted to the five borrower group companies, and filed affidavits to this effect in the Hon’ble Delhi High Court," the company said, adding that the petition was dismissed following this.
Sammaan Capital's clarification:
In an exchange filing released in the post market hours of November 19, Sammaan Capital said that an appeal has been filed against High Court's order at the apex court. However, as no wrongdoings have been found against Sammaan Capital, Supreme Court made no negative observations against the company’s conduct, specifically clarifying that “we have not expressed any opinion against Sammaan Capital Limited”, the firm said in the exchange filing.
"Sammaan Capital is a publicly listed company with no defaults, no outstanding dues, and no investigations or proceedings pending before any regulatory or enforcement agency, including SEBI, RBI, MCA, or the CBI. This position was earlier placed before the High Court as well, where all regulators had already given a clean chit. The present petition before the Supreme Court does not contain any allegation against Sammaan Capital," said Mukul Rohatgi, senior advocate and counsel for Sammaan Capital.
"We have no objection to this process. Since there is no allegation from any authority against Sammaan Capital, we are fully open to any inquiry the agencies may wish to conduct — once, twice, or even thrice. We have nothing to hide. The matter will next be taken up on 17th December, 2025 by which time we expect full clarity," added Rohatgi.
Petition claims ex-promoter fled country, bought aircrafts and yachts:
"The Hon'ble Supreme Court’s direction in the case now gives SCL an objective way to emerge from the under the cloud of these allegations against its erstwhile promoter. Today's proceedings centered around the petitioners' submissions that the erstwhile promoter has fled the country, has settled in London, and has acquired various 5-Star hotels, aircrafts, yachts etc. and an investigation is warranted," the company said.
Sammaan Capital reiterated that the accused ex-promoter has fully exited his shareholding in the company and does not own a single share since 2023. "No FIR has been directed to be registered against Sammaan Capital Limited. The court has clarified that it has not expressed any opinion on merits against SCL," it added.
Sammaan Capital share price:
Earlier yesterday, Sammaan Capital shares crashed 13 percent after a report claimed that the Supreme Court has questioned "friendly approach" by the Central Bureau of Investigation in probe of alleged irregularities at the NBFC.
The stock has made some recovery today. After hitting a 52-week low of Rs 97.61 apiece in April this year, the stock sharply gained nearly 98 percent in just seven months to hit a 52-week high of Rs 192.95 apiece earlier this month. The stock has now fallen more than 14 percent since then.
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