The Ludhiana Stock Exchange (LSE) Securities Limited seems to be in a fix over the action to be taken in the case of embezzlement of funds worth Rs. 1 crore.
One week after an inquiry committee appointed to inquire into the matter submitted its report, a meeting of board of directors of the company held here on Saturday could not take any decision regarding action to be taken against former chairman of the company, Vishal Gumbar.
The inquiry committee had found out that Rs. 1 crore were transferred into Gumbar's bank account, with alleged connivance of company staff.
When contacted, KK Puri, chairman of board of directors, said the board did not discuss the issue of embezzlement of funds, so there arose no question of taking action in the case.
Even as he seemed to be defending Gumbar and said the whole amount had been deposited back in the accounts of the company, he said there were some grammatical errors in the report which the inquiry committee will remove. "The inquiry committee will also recommend any action to be taken in this case, which committee had not decided on yet," he said.
It has been one month since the scam in LSE Securities Limited, the subsidiary company of Ludhiana Stock Exchange Limited, was reported and several members had demanded inquiry in to it.