Some people call him a thief and for some he is a one who told, how to play in the

stock market. He actually showed the potential of the Indian Stock Market and took
it to new heights which were never imagined then.

He is none other than Harshad Mehta

An Indian stockbroker and is alleged to have engineered the crash in the BSE stock
exchange in the year 1992.

What all he did:

Exploiting several loopholes in the banking system, Harshad and his associates siphoned
of funds from inter-bank transactions and bought shares heavily at a premium across
many segments, triggering a rise in the Sensex. When the scheme was exposed, the banks
started demanding the money back, causing the collapse. He was later charged with 72
criminal offenses and more than 600 civil action suits are filed against him. He died in
2002 with many litigations still pending against him.

His early life:

• In the early eighties he quit his job and sought a job with stock broker P. Ambalal
affiliated to Bombay Stock Exchange (BSE) before becoming a jobber on BSE for
stock broker P.D. Shukla.In 1981 he became a sub-broker for stock brokers J.L.
Shah and Nandalal Sheth.
• After he came out of this big struggle for survival he became stronger and his
brother quit his job to team with Harshad to start their venture GrowMore
Research and Asset Management Company Limited. While a brokers card at BSE
was being auctioned, the company made a bid for the same with financial
assistance from Shah and Sheth, who were Harshad's previous broker mentors.
• He rose and survived the bear runs, this earned him the nickname of the Big Bull
of the trading floor, and his actions, actual or perceived, decided the course of the
movement of the Sensex as well as scrip-specific activities.
• In April 1992, the Indian stock market crashed, and Harshad Mehta, the person
who was all along considered as the architect of the bull run was blamed for the
crash. It transpired that he had manipulated the Indian banking systems to siphon
off the funds from the banking system, and used the liquidity to build large
positions in a select group of stocks.
• When the scam broke out, he was called upon by the banks and the financial
institutions to return the funds, which in turn set into motion a chain reaction,
necessitating liquidating and exiting from the positions which he had built in
various stocks. The panic reaction ensued, and the stock market reacted and
crashed within days.He was arrested on June 5, 1992 for his role in the scam.
Harshad Mehta: From Pied Piper of the markets to India's best-known
scamster

In the wee hours of December 31, just before the year 2001 came to a close, Harshad
Mehta passed away in a jail in suburban Mumbai. It was a tragic and unceremonious end
to the man who was the first broker to become a mega-star of the Indian capital markets
and fire the greed and imagination of every middle class Indian in the early 1990s.

He promised the ultimate rags to riches story -- from the small town Raipur boy who was
once rusticated from school to Sultan of Dalal Street with all the trappings of wealth such
as a fabulous house, a fleet of cars and multiple stock exchange memberships.

Charismatic, ebullient and recklessly ambitious, Harshad Mehta set out to be a role model
for investors. "I thought I'd be like Pied Pier", he had told a newspaper in 1992, "I
thought I can sell dreams... that asset-creation is not a crime, that if you wanted to be
Harshad Mehta come to the stock market".

In June 1992, when he was released after 107 days in custody, he told me
"Congratulations, you have broken the story of the decade". That was Harshad again -
willing to revel even in negative publicity. He made a triumphant exit from court, a la
Laloo Yadav's recent jail yatra, amidst a mob of cheering and slogan-shouting investors,
who wanted him back in the market, igniting another never-ending bull run.

Instead, his disdain for the means the he employed to achieve his mega ambition, left
behind a shattered dream and a tarnished image. He ended his days in judicial custody,
and will forever be known as the main architect of the Rs 50-billion scam - India's
biggest securities scandal.

Instead of fawning epithets such as the Big Bull, or the Amitabh Bachchan / Einstein of
the market that were showered on him by his investor fans, he ended his days as a tired
scamster, who could not stop trying to pull off the same old quick money schemes.

For a few months after the scam, it almost seemed as though Harshad and his brother
Ashwin would remain at center-stage and dominate events. Within weeks after his release
he was hogging headlines as the first man ever to claim that he had bribed a sitting Prime
Minister. That too was done in typical Harshad fashion - press conferences at the Taj and
the Oberoi, high profile lawyers, an editor-turned-MP acting as emcee, the release of
audiotapes and the bizarre demonstration of Rs 10 million being stuffed into a large
suitcase.

That too fizzled out, with the Mehta brothers perjuring themselves. However, they clearly
got themselves a deal to avoid further harassment by other government agencies in
charge of money laundering and such offences. Did the aftermath of the investigation
change Harshad's attitude to business? No way.
Almost every year after 1992, Harshad Mehta has never ceased to attempt a comeback.
The problem was that he never changed his formula. He failed to realize that his old
magic was not working with investors anymore. At least nowhere near enough to move
the market. If the Central Bureau of Investigation is to be believed, Harshad was also
continuously funding himself by selling part of his 1992 stock portfolio, which he had not
declared to the Custodian appointed by government. In fact, it is the sale of these benami
shares (shares that were held in street names when he and 19 other entities were notified
by the Custodian and their assets impounded) that had put him back in police custody at
the time of his death.

Harshad's problem has always been his flashiness. In 1992, when I broke the story about
the Rs 6 billion that he had swiped from the State Bank of India, it was his visits to the
bank's headquarters in a flashy Toyota Lexus that was the tip off. Those days, the Lexus
had just been launched in the international market and importing it cost a neat package.

Even before that he was featured in a video newsmagazine feeding peanuts to bears at a
Mumbai zoo to symbolize his victory over the bear-cartel in the stock market.

In fact, for weeks after the scam, he was convinced that he would never have been caught
but for the bear cartel.

1997 saw Harshad Mehta making another big comeback attempt. This time as a new age
stock market guru. He was among the first to set up his own website to dispense tips. He
had also built up a network of senior media managers who gave him the publicity and
commissioned him as a columnist.

He also had powerful friends at the helm of the Bombay Stock Exchange with close
connections to the regulator. Some of the largest newspapers in the country, including the
Times of India where I first wrote the story of the securities scam, were convinced that a
Harshad Mehta column was sure to send circulation figures soaring.

Typically, Harshad did not stop at dispensing tips. He had struck a deal to ramp up the
prices of several stocks - among these were BPL, Videocon and Sterlite. He had managed
to build up quite a speculative bubble and was again the cynosure of investor attention
when India's nuclear tests caused a sudden collapse in prices and his bubble burst.

Brokers who operated for Harshad Mehta were then infamously bailed out at the behest
of the Bombay Stock Exchange authorities by opening the trading system in the middle
of the night to insert synchronized trades at manipulated prices.

Investigations by the Securities and Exchange Board of India have revealed that Harshad
had set up an entire network of investment companies, known as the Damayanti Group to
front his market operations. That investigation led to SEBI imposing a lifetime bar
against him (he had filed an appeal against the SEBI order).
It is a pity that Harshad's eternal optimism and furious stream of get-rich ideas were
never channeled to more productive use.

When the end came, he had a score of cases filed under different stages of trial and one
conviction by the Special Court in the Maruti Udyog case. But the last decade had
certainly taken its toll. The sunny optimism and good cheer, was replaced by a more
pensive and tired visage.

He not only looked defeated but sources close to him say that he was steadily running out
of funds. Most of this was probably due to the realisation that with one conviction by the
Special Court and another by SEBI, his dreams of coming back to the capital market had
ended forever. Now it is truly over.

Harshad Mehta was an Indian stockbroker and is alleged to have engineered the rise in
the BSE stock exchange in the year 1992. Exploiting several loopholes in the banking
system, Mehta and his associates siphoned off funds from inter-bank transactions and
bought shares heavily at a premium across many segments, triggering a rise in the
Sensex. When the scheme was exposed, the banks started demanding the money back,
causing the collapse. He was later charged with 72 criminal offenses and more than 600
civil action suits were filed against him. He died in 2002 with many litigations still
pending against him.

[edit] Early Life

Harshad Shantilal Mehta was born in a Gujarati Jain family of modest means. His early
childhood was spent in Mumbai where his father was a small-time businessman. Later,
the family moved to Raipur in Madhya Pradesh after doctors advised his father to move
to a drier place on account of his indifferent health. But Raipur could not hold back
Mehta for long and he was back in the city after completing his schooling,

Mehta gradually rose to become a stock broker on the Bombay Stock Exchange and lived
almost like a movie star in a 15,000 square feet apartment, which had a swimming pool
as well as a golf patch. He also had a taste for flashy cars, which ultimately led to his
downfall. “The year was 1990. Years had gone by and the driving ambitions of a young
man in the faceless crowd had been realised. Harshad Mehta was making waves in the
stock market. He had been buying shares heavily since the beginning of 1990. The shares
which attracted attention were those of Associated Cement Company (ACC),” write the
authors[who?]. The price of ACC was bid up to Rs 10,000. For those who asked, Mehta had
the replacement cost theory as an explanation. The theory basically argues that old
companies should be valued on the basis of the amount of money which would be
required to create another such company.
Through the second half of 1991, Mehta was the darling of the business media and earned
the sobriquet of the ‘Big Bull’, who was said to have started the bull run. But, where was
Mehta getting his endless supply of money from? Nobody had a clue.

On April 23, 1992, journalist Sucheta Dalal in a column in The Times of India, exposed
the dubious ways of Harshad Metha. The broker was dipping illegally into the banking
system to finance his buying.

“In 1992, when I broke the story about the Rs 600 crore that he had swiped from the State
Bank of India, it was his visits to the bank’s headquarters in a flashy Toyota Lexus that
was the tip-off. Those days, the Lexus had just been launched in the international market
and importing it cost a neat package,” Dalal wrote in one of her columns later.

The authors explain: “The crucial mechanism through which the scam was effected was
the ready forward (RF) deal. The RF is in essence a secured short-term (typically 15-day)
loan from one bank to another. Crudely put, the bank lends against government securities
just as a pawnbroker lends against jewellery…. The borrowing bank actually sells the
securities to the lending bank and buys them back at the end of the period of the loan,
typically at a slightly higher price.”

It was this ready forward deal that Harshad Mehta and his cronies used with great success
to channel money from the banking system.

A typical ready forward deal involved two banks brought together by a broker in lieu of a
commission. The broker handles neither the cash nor the securities, though that wasn’t
the case in the lead-up to the scam.

“In this settlement process, deliveries of securities and payments were made through the
broker. That is, the seller handed over the securities to the broker, who passed them to the
buyer, while the buyer gave the cheque to the broker, who then made the payment to the
seller.

In this settlement process, the buyer and the seller might not even know whom they had
traded with, either being know only to the broker.”

This the brokers could manage primarily because by now they had become market
makers and had started trading on their account. To keep up a semblance of legality, they
pretended to be undertaking the transactions on behalf of a bank.

Another instrument used in a big way was the bank receipt (BR). In a ready forward deal,
securities were not moved back and forth in actuality. Instead, the borrower, i.e. the seller
of securities, gave the buyer of the securities a BR.

As the authors write, a BR “confirms the sale of securities. It acts as a receipt for the
money received by the selling bank. Hence the name - bank receipt. It promises to deliver
the securities to the buyer. It also states that in the mean time, the seller holds the
securities in trust of the buyer.”

Having figured this out, Metha needed banks, which could issue fake BRs, or BRs not
backed by any government securities. “Two small and little known banks - the Bank of
Karad (BOK) and the Metorpolitan Co-operative Bank (MCB) - came in handy for this
purpose. These banks were willing to issue BRs as and when required, for a fee,” the
authors point out.

Once these fake BRs were issued, they were passed on to other banks and the banks in
turn gave money to Mehta, obviously assuming that they were lending against
government securities when this was not really the case. This money was used to drive up
the prices of stocks in the stock market. When time came to return the money, the shares
were sold for a profit and the BR was retired. The money due to the bank was returned.

The game went on as long as the stock prices kept going up, and no one had a clue about
Mehta’s modus operandi. Once the scam was exposed, though, a lot of banks were left
holding BRs which did not have any value - the banking system had been swindled of a
whopping Rs 4,000 crore.

Mehta made a brief comeback as a stock market guru, giving tips on his own website as
well as a weekly newspaper column. This time around, he was in cahoots with owners of
a few companies and recommended only those shares. This game, too, did not last long.

Interestingly, by the time he died, Mehta had been convicted in only one of the many
cases filed against him.

Till now, it is still unknown what was the real story behind the entire scam. The recent
Hindi movie 'Gafla' showed this scam in a different perspective.

Retrieved from "http://en.wikipedia.org/wiki/Harshad_Mehta"

From Worldcom to Satyam 11-MAY-09

It is early days yet, so it's difficult to say if Ramalinga Raju will be convicted in the Satyam
fraud case, and how many years of imprisonment he'll get. Certainly past history, with cases
going back to Harshad Mehta, suggest he'll get away lightly, but why be pessimistic, maybe
India has changed? The point, however, is that even if Raju is sentenced to jail for the rest of
his life, how does it help the investors he's duped — indeed, his family members will continue
to live in style.

Newsmaker: Nirmal Kotecha 01-MAY-09

Nirmal Kotecha is a self-confessed admirer of Harshad Mehta and a faithful follower of his
technique.
A K Bhattacharya: The other Satyam question 14-APR-09

Harshad Mehta was the man behind the biggest stock-market swindle in India. He
manipulated stock prices by exploiting loopholes in the banking system. Mehta and his
associates used funds available from inter-bank transactions to buy shares at a premium that
contributed to a sharp rise in the Sensex, the Bombay Stock Exchange’s benchmark index.

Mumbai broker wins bid for Harshad's flats for Rs 32.60 cr 14-FEB-09

Ashok Samani, a Mumbai-based stock broker, today won the bids for the eight apartments
owned by late Harshad Mehta and his family in upscale Worli by quoting a price of Rs 32.60
crore. The sale has to be approved by the Supreme Court.

Court extends Harshad apartment bid by one more week 06-FEB-09

The special court today extended the bidding for late stockbroker Harshad Mehta's eight
apartments for one more week to allow the stockbroker's brother Ashwin Mehta to get more
candidates, who can bid higher amount for the Worli property.

Harshad apartment auctions attract minimal interest 05-FEB-09

Less than half-a-dozen people have evinced interest in buying the eight apartments owned by
the late Harshad Mehta and his family, partly due to a last-minute case filed by the
stockbroker’s mother, Rasila S Mehta.

'Big bull' Harshad Mehta's flats up for sale 08-JAN-09

Sixteen years after the stock market scam orchestrated by Harshad S Mehta, the custodian
has put up eight apartments in a complex called Madhuli, which is occupied by his family in
upscale Worli, for

Subir Roy: What's a crore or two these days? 31-DEC-08

My god, interjected the wife as she glanced through the morning papers in search of trivia and
titbit to go with a lazy cup of winter morning tea, somebody’s stolen 2.6 crore rupees from the

A K Bhattacharya: Singh and the Sensex 22-OCT-08

The Sensex rose steeply in early 1992. From 2,000 on January 15, it had touched 4,000 by
the end of March.
Call rate slips down further to 1.25% 31-MAY-07

The overnight inter-bank call money rate fell to 1.25 per cent at the close of trading in the
money market today, down from yesterdays low of 4 per cent.

Rs 85,000 crore tax arrears may be written off 04-JAN-07

The government may have to write off a whopping Rs 85,000 crore tax arrears out of the total
arrears accumulated over the past several years as these have been found non-recoverableµ
by Income Tax

Retail investor back, in droves 18-SEP-06

Retail investors may have been staying away from the stock market after the May meltdown,
but the flow of household savings into equities has grown over four times in the past year.

Stock market crash: BJP for JPC probe 10-JUN-06

The BJP has demanded a Joint Parliamentary Committee (JPC) probe into the stock market
crash. We demand a JPC probe on the last 21 days of the stock market and the role of Finance
Minister P

Suman Bery: Animal spirits 11-APR-06

After the recent bullishness sentiment may be about to change.

Tamal Bandyopadhyay: Crime and punishment 02-MAR-06

The RBI has acted strictly in penalising banks for violating established norms. But do these
banks run a reputation risk? Hardly

Business standard

Dalal St took 20 yrs to scale 10K peak 07-FEB-06

The Sensex has taken 20 years to reach the 10,000-point-mark since it was launched in
January 1986, and about 27 years since it was first calculated in 1979.

Fast and furious: Sensex took 54 days to kiss 9000 29-NOV-05

The 30-scrip Sensex took 54 trading days to kiss 9000 points after touching 8,000 on
September 8. However, after the October slump - which saw the index drop from 8799.96 on
October 4 to 7685.64 on
Sunil Jain: Forget CBI, try NYT 26-SEP-05

Given the emphatic denial by the Prime Ministers Office (PMO) about its role in keeping tabs
on the stock market, well never get to know if, along with the taxman, CBI, IB and DRI
sleuths were

Drawing the line 24-SEP-05

The events of the past few days have demonstrated that theres a big worry in the minds of
several people about the sharp run-up in the market.

Profits on the high seas 24-SEP-05

In 1972, near the peak of a massive bull-run, Warren Buffett offered to dissolve his asset-
management partnership and return money to his investors. He claimed he couldnt find good
businesses at

NSDL ups effort to become record-keeper for pension funds 20-AUG-05

The National Securities Depository Ltd. is aiming hard to become the record-keeping agency
for pension accounts in the country, chairman and managing director CB Bhave said.

Custodian sets deadline for clearing title of tainted shares 07-MAY-05

Failing this, no claim will lie against the custodian, a public notice put out by the custodian
today said. In other words, the custodain will have the right to sell the uncertified shares after
the

Chandigarh turns to markets 29-MAR-05

Chandigarh, better known as City Beautiful, is fast coming up as the centre for trading in
financial markets in the north.

State Bank, StanChart contest I-T demand in Harshad case 06-JAN-05

State Bank of India and Standard Chartered Bank have contested the demand raised by the
Income Tax Department about the recovery of Harshad Mehta scam proceeds.

Tax dept targets Harshad`s arrears 19-OCT-04

The revenue department is planning to approach the committee of disputes to recover around
Rs 1,000 crore of tax arrears from the late Harshad Mehta.
Scam recovery payment to I-T dept put on hold 19-AUG-04

The Cabinet Committee on Disputes has withheld the payment of recovery proceeds from the
Harshad Mehta case to the Income Tax (I-T) department following an appeal by State Bank of
India (SBI) in the

Scam recovery payment to I-T dept put on hold 19-AUG-04

The Cabinet Committee on Disputes has withheld the payment of recovery proceeds from the
Harshad Mehta case to the Income Tax (I-T) department following an appeal by State Bank of
India (SBI) in the

Devangshu Datta: Stock takers 19-JUN-04

Just before the dot com bubble burst in mid-2000, Andrew Smithers and Stephen Wright
(S&W) collaborated in a seminal book called Valuing Wall Streetµ.

Are we in a bear hug? 07-JUN-04

After the blood bath on that dreadful Monday of May 17, 2004, fear is writ large on the
market's face. No amount of cajoling from the finance minister helped the market revert to its
astounding run up

The side of the FM that you don't know 25-MAY-04

What can you gift a man who commands a Rs 25 lakh crore empire, employs 37 crore people,
and is sitting on foreign exchange reserves worth $116 billion? In short, what can you give a
man who has

http://www.rediff.com/money/2001/dec/31dalal.htm

'Big Bull' Harshad Mehta dead

'Big Bull' Harshad Mehta, who hit the headlines 10 years ago in the wake of multi-
billion-rupee securities scam, died at Thane civil hospital early Monday morning.

Mehta, 47, is survived by his wife, two sons and two brothers, Ashwin and Sudhir.

Harshad, embroiled in a series of scam cases, was lodged in Thane Central Jail. He
developed chest pain at around 11 pm last night and was shifted to Thane civil hospital
where he breathed his last at 12.40 a.m., police sources said.

Reports from Thane said Mehta's body, clad in hospital whites, was kept on the ground
floor of the civil hospital while an inquest was completed in the presence of a local
official.
Harshad Mehta's son, 22-year-old Atur, is out of town and has been informed of his
father's death.

Doctors at the Thane hospital said Mehta was brought in good health. He was hale and
hearty and was even chatting with the hospital personnel. However, his condition
deteriorated suddenly and he soon passed away.

Police have registred a case of natural death.

According to hospital sources, he complained of chest pain last night in the central prison
here where he was lodged since eight days.

The jail doctor S G Kharat gave him first-aid before being taken to civil hospital, they
said.

In the hospital, Harshad collapsed when the doctor was examining him. The doctors tried
to save him by providing artificial resuscitation but declared him dead shortly after
midnight. Chief medical officer Dr Sudhir Bakshi and physician Dr R A Chavan attended
on him.

Soon after his death, his family rushed to the hospital.

The police also maintained tight bandobast by deploying additional personnel.

According to family sources, he never had a heart problem earlier.

According to doctors and jail sources, Harshad did his normal exercises for over an hour
every day but on Sunday it was extended by 30 minutes.

He was arrested by CBI on November 9 with his brothers, Ashwin and Sudhir, in the case
of alleged misappropriation of Rs 2.50 billion from 2.7 million 'missing' shares of 90 blue
chip companies.

On December 21, a special court had rejected the bail plea of Harshad and his brothers
and remanded them to judicial custody till January 4.

Harshad and his brothers contended that it was on the basis of their complaint that the
court had earlier ordered CBI to probe the 'missing' shares, while CBI argued that these
shares were sold fraudulently in the market by the accused.

Harshad and his two brothers are charged with various offences under IPC such as 120-b
IPC (conspiracy), 467 (forgery of valuable security), 468 (forgery for the purpose of
cheating) and 471 (using as genuine forged documents).
 In another case, Harshad Mehta and three others were acquitted on
April 16 in a case of alleged misappropriation of Rs 588,000 from
the funds of Bank of America in its inter-bank call money transactions ostensibly with
SBI Mutual Fund.

After his arrest Harshad was confined to central prison and other jails in Mumbai.
Recently, he was shifted to Thane Central Prison.

In special courts here and Supreme Court in New Delhi, Harshad was defended by a team
of lawyers led by Mahesh Jethmalani.

From clerk to broker, Harshad rose to meteoric heights

'Big Bull' Harshad Mehta, who passed away early on Monday, rose from an insurance
clerk to become one of the most high-profile share brokers till 1992, when the multi-
billion-rupee securities scam rocked the stock exchanges in the country with a number of
banks and financial institutions facing the heat.

Following public outcry, the government set up Janakiraman Committee to probe the
scam, which broke out between April 1991 and June 1992. At least 10 commercial banks,
including the Standard Chartered Bank, State Bank of India and National Housing Bank,
a Reserve Bank of India subsidiary, were hit by the scam.

Forty seven-year-old Mehta began his career as a despatch clerk in New India Assurance
Company before he transformed the securities market into an active business hub. He
then rose to become a stockbroker and strove to drive the market to dizzy heights when
economic reforms were slowly being unfolded.

He is survived by his wife, two sons and two brothers, Ashwin and Sudhir. Both the
brothers are also facing trial in scam cases.

According to CBI, he exploited bank receipt instruments to the maximum and used the
money derived to speculate the share prices of several blue chip companies.

Harshad perfected the art of diverting money to the stock market from bank's security
portfolio by exploiting the loopholes in the system, according to trade circles.

He took over closed companies, pumped in cash and boosted their shares on the stock
market.
After the scam, Harshad was arrested by CBI in several cases registered against him for
allegedly cheating banks and financial institutions to the tune of several millions of
rupees.

He, however, raised a controversy by addressing a press conference along with his lawyer
Ram Jethmalani by displaying two suitcases in which he claimed to have paid Rs 10
million donation allegedly to the then Prime Minister Narasimha Rao for the Congress
party.

Later, a special court ordered a CBI probe into the allegations made by Harshad Mehta
that donations of Rs 10 million from the scam money were indeed paid to Congress.

Harshad was facing trial in altogether 28 cases but was so far convicted in only one case
involving use of Maruti Udyog Ltd funds to the tune of Rs 300 million in the stock
market. All other cases are still pending.

He was sentenced to five years rigorous imprisonment by justice M S Rane in MUL case
although Harshad pleaded that the money had been returned to MUL and the latter saying
that it had not lost any amount. He had filed an appeal in the Supreme Court which is still
pending.

Although Harshad was barred from operating in the market, he offered advice to
investors on his website.

Harshad had secured bail in all the cases registered against him. However, he was
recently arrested on fresh charge of misappropriating Rs 2.50 billion from 2.7 million
'missing' shares of 90 blue chip companies.

He was placed in judicial custody along with his two brothers, Ashwin and Sudhir till
January four. Harshad and Sudhir were lodged in Thane jail eight days ago, while
Ashwin was admitted to J J Hospital soon after his arrest for treatment of cardiac
problem.

Shares belonging to Harshad Mehta group had been attached by a special court.
However, Harshad and his brothers claimed that 2.7 million shares held by them were
'missing' or 'stolen' and could not be located. The court ordered a CBI enquiry into the
missing shares.

CBI held Harshad and his two brothers responsible for introducing these 'missing' shares
in the market surreptitiously in benami (fake) names to rig share prices.

Accordingly, a case was registered against them.

The 1991-92 scam had sent shock waves all over the country and saw many heads
rolling. In the wake of the scam, chairman of UCO Bank K M Margbandhu was sacked
and arrested. Planning Commission member V Krishnamurthy and SBI managing
director V Mahadevan were forced to quit their offices.