Major contribution to total market volume came from BOP (+2.34 per cent), UNITY (-3.85 per cent) and STCL
(+2.43 per cent) churning 44.65mn shares out of the All Share volume of 139.67 shares.
6 September 2011 - ICRA said yesterday it had reassigned its D rating on the fund-based limits of Indian commodity products distributor STCL
STCL, a company dealing in spices, entered a new business of trading in iron ore and metal scrap in 2004-05.
While STCL established letters of credit (LCs) on the foreign sellers for the purchase of metal scrap, it accepted the offer of getting the sales proceeds through "swift payment" from the overseas buyers without insisting on back-to-back LCs.
Based on FMPL's proposal of March 28, 2005, to be its business associate, STCL entered into the contract without even waiting for the approval of the managing director ( MD).
The CAG report points out that these two business associates had a nexus with the buyers and sellers, which was used to exploit STCL. As the consignments did not touch Indian shores in the third country contracts, close monitoring was required.
The report states that " it was evident from various contracts entered into with the business associates that the said sellers and buyers were associates of the business associates." Ironically, the increased turnover in metal scrap trading was used to elevate STCL from a Grade D to Grade C company, which enhanced the financial powers of the MD.
Secura decided to put its whole share in STCL after taking into thought the challenges of business costs that had produced negative returns on endowment.
The sale stake signifies the whole share of Secura in STCL. STCL would cease to be an associate of the firm, after the completion of the proposed disposal.
STCL was built-in in Thailand and its principal activities are to continue the business of cyber security, homeland security, security consultancy, security printing and other security products and services.
The unaudited net liability value and net tangible liability value of STCL was THB 2.3 million ($97,000), grounded on the recent available management accounts at Dec 31 2017.
As at Dec 31 2017, Secura had made provisions for the full impairment of its investment in STCL and amounts due from STCL totalling to $200,000 in aggregate.