FTIL shares nosedive over 14% as auditor withdraws report
Sep 25 2013 , Mumbai
Reacting to this, FTIL's scrip opened the day on a weak note and further tanked 14.4 per cent to Rs 143.25 on the BSE.
The stock, however, later pared some of the losses and was trading at Rs 154.05, down 7.95 per cent, in the late morning trade.
FTIL's statutory auditor Deloitte Haskins & Sells has withdrawn its audit report certifying accounts of the company for 2012-13 fiscal as the Rs 5,500 crore payment crisis at NSEL ballooned.
The audited accounts were to be placed for FTIL's annual shareholder meeting today but the auditor red-flagged the financial statements and withdrew its report.
National Spot Exchange Ltd (NSEL), a firm owned by FTIL, has defaulted for five consecutive weeks on payments to be made to its 13,000 investors.
"... The statutory auditors of the company on September 23 informed that the audit report dated May 30, 2013, on the standalone and the consolidated financial statements of the company for the year-ended March 31, 2013, should no longer be relied upon," FTIL said in a filing to the BSE yesterday.