Day Trading Stocks & Futures
- Thread starter TraderRavi
- Start date
- Tags banknifty bnf daytrading nifty future
https://www.business-standard.com/a...hushan-power-steel-to-rbi-119071300685_1.html
Allahabad Bank reports Rs 1,744-cr fraud by Bhushan Power & Steel to RBI
After Punjab National Bank (PNB), another state-owned lender Allahabad Bank Saturday reported fraud of over Rs 1,774 crore by Bhushan Power and Steel to the Reserve Bank of India.
Allahabad Bank in a regulatory filing said on the basis of forensic audit investigation findings and CBI filing FIR against the company and its directors, alleging diversion of funds from banking system by Bhushan Power and Steel Ltd (BPSL), a fraud of Rs 1,774.82 core has been reported by the bank to the Reserve Bank.
Last week, PNB reported a fraud worth Rs 3,805.15 crore by the bankrupt steel company BPSL by misappropriating bank funds and manipulating its books of accounts.
Around 85 per cent of PNB's Rs 4,399 crore exposure to the company had been siphoned off.
Allahabad Bank further said it has been observed that the company has misappropriated bank funds, and manipulated books of accounts to raise funds from consortium lender banks.
The bank has already made provisions amounting to Rs 900.20 crore against exposure of the bank in BPSL, it said.
At present, the case is in the National Company Law Tribunal (NCLT), which is in advance stage and the bank expects good recovery in the account.
It is expected that more banks may report fraud committed by BPSL as the CBI complaint registered in April names several other lenders.
According to the CBI, BPSL diverted around Rs 2,348 crore through its directors and staff from the loan accounts of PNB (IFB New Delhi & IFB Chandigarh), Oriental Bank of Commerce (Kolkata), IDBI Bank (Kolkata) and UCO Bank (IFB Kolkata) into the accounts of more than 200 shell companies without any obvious purpose.
The agency said that the company in doing so had misused the funds and the FIR named chairman Sanjay Singhal, vice-chairman Aarti Singhal, along with other directors as suspects.
"It was further alleged that the said Company availed various Loan facilities from 33 banks/financial institutions during the year 2007 to 2014 to the tune of Rs 47,204 crore (approx) and defaulted on repayments. Subsequently, lead bank PNB declared the account as NPA followed by other banks and financial institutions," the CBI had stated.
Allahabad Bank reports Rs 1,744-cr fraud by Bhushan Power & Steel to RBI
After Punjab National Bank (PNB), another state-owned lender Allahabad Bank Saturday reported fraud of over Rs 1,774 crore by Bhushan Power and Steel to the Reserve Bank of India.
Allahabad Bank in a regulatory filing said on the basis of forensic audit investigation findings and CBI filing FIR against the company and its directors, alleging diversion of funds from banking system by Bhushan Power and Steel Ltd (BPSL), a fraud of Rs 1,774.82 core has been reported by the bank to the Reserve Bank.
Last week, PNB reported a fraud worth Rs 3,805.15 crore by the bankrupt steel company BPSL by misappropriating bank funds and manipulating its books of accounts.
Around 85 per cent of PNB's Rs 4,399 crore exposure to the company had been siphoned off.
Allahabad Bank further said it has been observed that the company has misappropriated bank funds, and manipulated books of accounts to raise funds from consortium lender banks.
The bank has already made provisions amounting to Rs 900.20 crore against exposure of the bank in BPSL, it said.
At present, the case is in the National Company Law Tribunal (NCLT), which is in advance stage and the bank expects good recovery in the account.
It is expected that more banks may report fraud committed by BPSL as the CBI complaint registered in April names several other lenders.
According to the CBI, BPSL diverted around Rs 2,348 crore through its directors and staff from the loan accounts of PNB (IFB New Delhi & IFB Chandigarh), Oriental Bank of Commerce (Kolkata), IDBI Bank (Kolkata) and UCO Bank (IFB Kolkata) into the accounts of more than 200 shell companies without any obvious purpose.
The agency said that the company in doing so had misused the funds and the FIR named chairman Sanjay Singhal, vice-chairman Aarti Singhal, along with other directors as suspects.
"It was further alleged that the said Company availed various Loan facilities from 33 banks/financial institutions during the year 2007 to 2014 to the tune of Rs 47,204 crore (approx) and defaulted on repayments. Subsequently, lead bank PNB declared the account as NPA followed by other banks and financial institutions," the CBI had stated.
The issue is if the economy in question is a 'Modern' one, then all other things being equal situation does not arise. If the employers in a modern economy do not find employees then either the government increases immigration or they invest in productivity through automation/moving up the value chain. This has been my observation looking at Japan, Europe, USA, Canada etc.
Stop Loss hunting by Smart Money. Well known technique.
Biggies would know , where retailers are likely to put their stops(based on Fib level, S/R etc etc). And they have money, lots of it.
Suppose they decided to take up Nifty. And retailers also thinking, NF will go up.
Now retailer buys NF and then places a Stop at his perceived reversal point based on fib SR or whatever.
Now these Stop orders sitting in exchanges are actually a Short position created by retailers as limit orders.
(Biggis don't need brokers to tell them this inside info, they will hunt it out)
Now if NF moves up, Biggis will have to share their profits with these Long retailers. Which they don't want obviously. So they need to flush these retailers out.
They have the money, lots of it.
So they start shorting, they bring NF down to levels where they think retailers have put stops (Created limit orders shorts). and buy punching aggressive market orders, they eat out these stops.
Onces they know there are no more shorts remaining, they start punching buy orders. Marking up the NF and NF shoots up. They laugh all the way to bank. Retailers are left blaming brokers, exchanges, own luck etc etc.
That's why you see many a times, before brake out above, there is initially a so called failed breakdown attempts (Its Biggis at work, flushing out retailers)
So if your are convinced of a directional move, the worst thing to do is to put a Stop. Most of the time it will be eaten.
So what to do, have deep stop loss. Even that can be eaten, more heartburn. And it defeats it purpose.
Better to know, a point from where mkt will reverse, and close trade yourself than to let Biggies stop you out. Or find other ways.
Biggies would know , where retailers are likely to put their stops(based on Fib level, S/R etc etc). And they have money, lots of it.
Suppose they decided to take up Nifty. And retailers also thinking, NF will go up.
Now retailer buys NF and then places a Stop at his perceived reversal point based on fib SR or whatever.
Now these Stop orders sitting in exchanges are actually a Short position created by retailers as limit orders.
(Biggis don't need brokers to tell them this inside info, they will hunt it out)
Now if NF moves up, Biggis will have to share their profits with these Long retailers. Which they don't want obviously. So they need to flush these retailers out.
They have the money, lots of it.
So they start shorting, they bring NF down to levels where they think retailers have put stops (Created limit orders shorts). and buy punching aggressive market orders, they eat out these stops.
Onces they know there are no more shorts remaining, they start punching buy orders. Marking up the NF and NF shoots up. They laugh all the way to bank. Retailers are left blaming brokers, exchanges, own luck etc etc.
That's why you see many a times, before brake out above, there is initially a so called failed breakdown attempts (Its Biggis at work, flushing out retailers)
So if your are convinced of a directional move, the worst thing to do is to put a Stop. Most of the time it will be eaten.
So what to do, have deep stop loss. Even that can be eaten, more heartburn. And it defeats it purpose.
Better to know, a point from where mkt will reverse, and close trade yourself than to let Biggies stop you out. Or find other ways.
Even on Relationship managers terminal, he can see, he can see client's position, and also what stop orders his client have punched in.
In sub RMs ke boss ke terminal pur ye info available hoti hai.
And in bosses ke baap ke pass subki info. So he has huge pool of data.
he can then decide , what to do with this data.
Aur biggis ke is tarah ke kai brokers hotey hai. So he has even bigger data set.
And he has the money. Period
In sub RMs ke boss ke terminal pur ye info available hoti hai.
And in bosses ke baap ke pass subki info. So he has huge pool of data.
he can then decide , what to do with this data.
Aur biggis ke is tarah ke kai brokers hotey hai. So he has even bigger data set.
And he has the money. Period
Similar threads
-
-
Collective Investment Scheme in stocks and futures trading?
- Started by rakamaka
- Replies: 7
-
Trading Futures: Indices Vs Individual Stocks- Started by Trade_Artist
- Replies: 9
-
-