Although Bse site shows promoter stake at less than 20% but ACTUAL stake is nearly 50%.Now, the point is that that the BSE website shows the promoters' holding as 15.71% while the public hold as 84.29%. The clause "Less than 20%'", could be tricky as even 1% is less than 20%, isn't it? These jargons are deliberately used, to create an effect of 20% on the minds of traders--a psychological play.
2ndly if the promoters are really holding nearly 50% then why is the BSE website constantly mentioning the erroneous data?
Moreover, if anyone wants to buy LAND STORY, then why not go after Prajay Engineers Syndicate Ltd (Rs.8.30) or PVP Ventures Ltd (Rs.7.50) instead of running after NTC Industries ltd (another of his recommendation). Also, while recommending Deepak Spinners Ltd in June 2014 at Rs.40, this is what he wrote:
"Investment highly recommended as scrip can easily cross 60 (sic) mark in coming months".The scrip is now trading at Rs.33.55, down more than 15% from his recommended price in around one year. Besides this, take one of his recent recommendations (December, 2014): CHAMANLAL SETIA EXPORTS LTD at Rs.64.60. The stock shot up to Rs.86.85 (as of 13/01/2015), after his research report figured in various Financial Publications. But since then it has been falling and falling, with the CMP being Rs.77.85--the same PUMP and DUMP FORMULA. Isn't it?
Incidentally Hemant K Gupta, talks more about operators moving the scrips in Indian Bourses routinely, in his columns, but look, at some of his recommendations during the past 10 years, unfortunately it all been the same PUMP and DUMP story (Agro Dutch Industries at Rs.26; Twilight Litaka Pharmaceuticals Ltd at Rs.52.20; Electrotherm Ltd at Rs.487.70 and so on) in case of many scrips.
Let us look at a couple of past cases, now:
(i) On February, 2009, Victory Projects Ltd announced that the Board of Directors of the Company at its meeting held on February 16, 2009, inter alia, has resolved to issue 10,00,000 equity shares on preferential allotment basis in accordance with SEBI - DIP Guidelines 2000 to Mr. Hemant Gupta, a non-promoter investor for funding the proposed "Payment Gateway, VAS and Voice-Hosting Projects" of the Company. The Investor has already released around 60% of the above investment money to the Company.
(ii) In May, 2009, TeleCanor Global Ltd announced that the Board of Directors of the Company at its meeting held on May 22, 2009, inter alia, has resolved to issue 7,84,000 Equity Shares on preferential allotment basis in accordance with SEBI - DIP Guidelines 2000 to Mr. Hemant Kumar Gupta an Independent non-promoter investor and other non-promoter investors for funding the proposed "Payment Gateway, VAS and Voice-hosting Projects" of the Company.
But as long as the operators continue to be in charge of the affairs, I believe the shares would could continue to tread new levels, like MIC Electronis Ltd did before nosediving to Rs.8.03 from Rs.10.99.