Shares of Mercator Ltd. tanked nearly 11% on Thursday, after reports said that the Central Bureau of Investigation (CBI) had charge=sheeted its executive chairman H.K. Mittal and four former top officials of the State-run Dredging Corporation of India.
According to report in The Hindu Businessline , Mittal and four former officials of Dredging Corporation of India (P Sridharan, M.V.R. Murthy, S.S. Tripathi and P.V. Ramana Murthy) have been charge-sheeted by the CBI in a case relating to the now-stalled Sethusamudram Ship Canal Project, as well as another dredging contract at Paradip Port.
Meanwhile, the firm has called off its early proposal to hold an extra-ordinary general meeting to seek shareholders' approval for raising up to Rs.100 crore by way of issue of secured/unsecured non-convertible debentures. Instead, it would now seek approval via postal ballot. It said the move would save time and cost and was in best interest of shareholders.
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Shares of Mercator was trading at ₹ 27.80 on the BSE.