Educomp files complaint against 'malicious emails'

NEW DELHI: Educomp Solutions on Wednesday said it has filed a complaint with the Economic Offences Wing of the Delhi Police to identify the persons who have alleged that the company's accounts have been fudged leading to crash in its share prices in the stock market. The company's management has clarified their position on the allegations and added that rumours have been floated to manipulate the stock price.

The education solutions provider alleged that a few unidentified persons had circulated e-mails and reports to the investor community and the media accusing it of accounting malpractices. On Wednesday, the company's stock closed 22.06% down on the BSE at Rs 1,534.90. On Tuesday, when rumours had first started floating, the stock dropped 7% to close at Rs 1,954 on the BSE.

"Educomp is also seeking institutional remedies from the government and the market regulators to help protect the shareholders' interests from what seems to be a concerted attempt to damage the reputation of the company and drive down the stock price of the company," Educomp CEO Shantanu Prakash said.

A press statement issued by the company said that there seems to be an attempt to draw a parallel between Educomp and the recent developments at Satyam which have bred suspicion about corporate accounting standards in general amongst the investor community.

"There is no basis for any such reports regarding Educomp and we are determined to protect our shareholders' interests at all costs," Mr Prakash added.