CCB to probe stock broking company cheating case

Police Commissioner Kamal Pant has ordered the Central Crime Branch (CCB) to probe the cheating case against a reputed investment company.

Based on a complaint filed by one of the investors, a case was registered in Seshadripuram police station and later transferred to the CCB for a detailed probe.

The company, Karvy Stock Broking Limited, having its head office in Hyderabad with branches across the country, received investments from thousands of clients to trade in shares and investments. Initial inquiries revealed that the company pawned the shares of its clients in a bank to avail huge loans which it invested in other companies. This is a clear violation of SEBI guidelines, which attracts legal action, officials said.

As the case has interstate ramifications, the CCB will conduct a probe in detail for further action.

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