Brokers in price rigging

PUBLISHED : Tuesday, 21 January, 1997, 12:00am
UPDATED : Tuesday, 21 January, 1997, 12:00am

The National Stock Exchange (NSE) claims to have identified a group of stockbrokers involved in the manipulation of share prices of the State Bank of India (SBI) and ITC on the exchange last week.

'I would not like to reveal the names of the brokers at this stage, but we have arranged to inspect their books, and will make an announcement shortly,' said Dr R.H. Patil, the NSE's managing director.

Price rigging was believed to have been the main cause for the wild swings that rocked the stock indices last week.

The 30 share Bombay Stock Exchange (BSE) index flared up by 155 points last Wednesday to touch 3,673.91, before losing more than 250 points to climb down to 3,422.35 by the close of trading on Friday.

Both the rise and fall were fuelled by SBI and ITC.