BSE puts Veronica Productions under third stage of GSM framework

BSE puts Veronica Productions under third stage of GSM framework

Asia’s oldest stock exchange BSE said that it has put Veronica Productions Ltd under the third stage of the graded surveillance measure (GSM) framework. The bourse had imposed trading curbs on Veronica Productions Ltd (VPL) after Sebi issued directions with respect to listed shell companies, including VPL, alleged to have indulged in tax-related violations and other discrepancies.

Veronica Productions Ltd shall be placed under “Stage 3” of graded surveillance measure (GSM) framework effective on May 10, 2023, BSE said in a circular on Wednesday. Further, trading in the securities of the company shall continue to remain suspended until further notice, the bourse added. GSM framework has been made to check any abnormal rise in stock price not commensurate with the company’s financial health.

According to the exchange, securities placed under the GSM framework would be reviewed on a quarterly basis and securities not meeting the inclusion criteria would be moved out of the framework.