GAIL & ONGC Open Offers

Posted: Monday, Apr 05, 2004 at 0000 hrs IST
Updated: Monday, Apr 05, 2004 at 0000 hrs IST

Font Size

Print

Feedback

Email

Discuss

: After some years, a large number of small investors thronged the new issue market and it was a wonderful feeling until refunds for the GAIL offer were received. Those who were familiar with software design knew at once that lakhs of small investors who applied at the net price of Rs 185.25 (Rs 195 less 5 per cent discount) were rejected by using the word ‘NA’ in the discount column and were excluded from the allotment run.

Refunds were printed, despatched and encashed. Small investors were hurt deeply and thousands do not have the means to express their anger and will withdraw from the new issue market forever. We, on our part, sent the Securities and Exchange Board of India and the petroleum ministry an e-mail on 30th March on the error noticed in GAIL and warned that the same may be repeated in ONGC.
We were pleasantly surprised to receive the allocation of ONGC shares the very next day for the full quantity though our bid price indicated was Rs 713 (50 paise more than the net price). Rectification was prompt.
In the case of GAIL, we request that MCS re-runs the programme as...

More from