Hi Anand,
The reason for Uflex’s low proce is due to past conviction of its CMD…Ashok Chaturvedi…see extract beow
Chaturvedi and Neera Yadav, the former chief secretary of Uttar Pradesh were on Tuesday sentenced to four year in prison by a CBI court in a 1994-95 Noida land scam case. Following the judgment, the company’s shares crashed 20% on the Bombay Stock Exchange. In a communication to BSE, Uflex stressed that the judgment had no financial implication for the company. Chaturvedi, it said, had been found guilty in his ‘‘individual capacity’’ in a case relating to allotment of land for the company’s employees. Uflex added that the land was not used by the company and that Chaturvedi was taking ‘‘appropriate legal steps’’ in the matter.
Known to be a charmer in Delhi’s power circles, Chaturvedi is no stranger to controversy. In 2001, he was arrested by the CBI under the Prevention of Corruption Act for allegedly bribing a top excise department official. Former cabinet secretary Prabhat Kumar was forced to resign as Jharkhand Governor after reports that Chaturvedi had paid for his private parties appeared in the media.