JindalPoly-Please tell me about this one

ping_manoj · #1 27th July 2006, 06:26 PM

Please refer to the screen dump of the JindalPoly charts.

Please let me know if I can take some position in this one.

Regards

munchikana · #2 27th July 2006, 10:29 PM

I am not qualified to comment on the chart. May be Saint or vvonteru will help you in this regard. However, I feel I must tell whatever I have observed about some of these Jindal group companies. Jindal Poly, Jindal Photo, Consolidated Finvest etc. are darlings of stock operators, who are guided by the promoters of these companies. Usually these companies are dormant for years and years altogether languishing around or below Rs. 50/-. When the promoters feel that they have to make money (of course at the expenses of gullible investors), these scrips begin to jump up and down quite rapidly. Usually this trick begins some months before the issue. I do not know whether you remember this. Jindal Photo came with a public issue at par (i.e. Rs. 10/-) during 1991 or 1992. Thereafter, it remained dormant for several years. During 1996 or 1997, they came with a follow on public issue at a premium of Rs. 175/-. As you might have rightly guessed, its share price was taken to (hold your breath) the level of in excess of Rs. 700/-. As usual investors subscribed to the issue at that heafty premium and thereafter, the share price tanked (again hold your breath) to the level of Rs. 30/-. Thereafter, during 2004 or 2005, the very same company was split in to Jindal Photo and Consolidated Finvest and both these companies were listed on bourses. Again this Jindal Photo and Consolidated Finvest jumped around (Jindal Photo from Rs. 220/- to about Rs. 450/-) (consolidated Fonvest from (Rs. 35/- to about Rs. 70/-) in matter of few months. Both of them have tanked from that level and look where they are now. Perhaps they will not move for several years. Same was the story with Jindal Poly. It ran heavily just before public issue. Public issue (in this case follow on issue) was made at a heafty premium, gullible public subscribed to this issue, thereafter usual story but with a tragic end (from investor point of view). Share price tanked to the present level. I think promoters of all these companies are same. If any other member knows about the credentials of these promoters, kindly post here. If any member has got any dissenting opinion, kindly post here. I have learned a very bitter lesson. Check the promoters before you invest. How do I know all these things? I myself have held the shares of Jindal Photo right from its first public issue during 1991 to 2005. Fortunately, I did not subscribe to the follow on offer. Not that I had done my home work and avoided it deliberately. But, I simply did not have any money at that time. God saved me from dooming. I have realised about several games played at stock markets only when I went through the informative posts made by members of this forum. Hope this post warns you sufficiently.

ping_manoj · #3 28th July 2006, 08:34 AM

Quote:

Originally Posted by munchikana

I am not qualified to comment on the chart. May be Saint or vvonteru will help you in this regard. However, I feel I must tell whatever I have observed about some of these Jindal group companies. Jindal Poly, Jindal Photo, Consolidated Finvest etc. are darlings of stock operators, who are guided by the promoters of these companies. Usually these companies are dormant for years and years altogether languishing around or below Rs. 50/-. When the promoters feel that they have to make money (of course at the expenses of gullible investors), these scrips begin to jump up and down quite rapidly. Usually this trick begins some months before the issue. I do not know whether you remember this. Jindal Photo came with a public issue at par (i.e. Rs. 10/-) during 1991 or 1992. Thereafter, it remained dormant for several years. During 1996 or 1997, they came with a follow on public issue at a premium of Rs. 175/-. As you might have rightly guessed, its share price was taken to (hold your breath) the level of in excess of Rs. 700/-. As usual investors subscribed to the issue at that heafty premium and thereafter, the share price tanked (again hold your breath) to the level of Rs. 30/-. Thereafter, during 2004 or 2005, the very same company was split in to Jindal Photo and Consolidated Finvest and both these companies were listed on bourses. Again this Jindal Photo and Consolidated Finvest jumped around (Jindal Photo from Rs. 220/- to about Rs. 450/-) (consolidated Fonvest from (Rs. 35/- to about Rs. 70/-) in matter of few months. Both of them have tanked from that level and look where they are now. Perhaps they will not move for several years. Same was the story with Jindal Poly. It ran heavily just before public issue. Public issue (in this case follow on issue) was made at a heafty premium, gullible public subscribed to this issue, thereafter usual story but with a tragic end (from investor point of view). Share price tanked to the present level. I think promoters of all these companies are same. If any other member knows about the credentials of these promoters, kindly post here. If any member has got any dissenting opinion, kindly post here. I have learned a very bitter lesson. Check the promoters before you invest. How do I know all these things? I myself have held the shares of Jindal Photo right from its first public issue during 1991 to 2005. Fortunately, I did not subscribe to the follow on offer. Not that I had done my home work and avoided it deliberately. But, I simply did not have any money at that time. God saved me from dooming. I have realised about several games played at stock markets only when I went through the informative posts made by members of this forum. Hope this post warns you sufficiently.

Thank you munchikana.
This was very insightful. The message I take away from your post is to be away from the entire Jindal Pack.

Sad to hear, as you have mentioned, that you have burnt your fingers with this pack. I wish you all the best so that you can recover all your losses.

All the best.

quick_trade · #4 28th July 2006, 12:05 PM

PLease tell me if u r holding such scripts then what will u do to minimaize lossses

pranayd · #5 28th July 2006, 03:50 PM

Good warning Munchikana,

Why go in the distant past, the most recent example is Patel Engg. It came with a follow up issue at Rs. 440. The price at that time was jacked up to around 600. From the day this issue was oversubscribed the share started tanking. On the day investors got their shares in their demat account, the price was just below 440, and the stock started plummeting thereafter. Currently it is around 260 level!!!

This is from my personal experience, only thing is that I did not wait and held the stock for long and came out with minimal losses (the cost of making you wiser!)

Pranay

munchikana · #6 28th July 2006, 07:30 PM

Quote:

Originally Posted by ping_manoj

Thank you munchikana.
This was very insightful. The message I take away from your post is to be away from the entire Jindal Pack.

Sad to hear, as you have mentioned, that you have burnt your fingers with this pack. I wish you all the best so that you can recover all your losses.

All the best.

Do not paint the entire Jindal Pack with the same brush. Though there are several companies begining their name with the word Jindal, I do not think all of them are belonging to one and same person(s). Some of them are good. Only thing is that you have to seperate chalf from grain. If you are unable to do that,then better stay away from the entire pack. There are other thousands of scrips available in the market. You can concentrate on them.

One more thing. There is absolutely nothing to be ashamed about informing others that you have lost money or that you have become a fool or that you have become careless or negligent. Thing is that you must admit it. Only then you will see that your ego is demolished slowly but surely. Ego is the worst thing in the stock market. Only when you warn about the pit falls, others will take guard against it. Come on guys. Be frank and truthful. You have nothing to loose by saying the truth. On the other hand, by saying the truth, you are only helping other members of this Forum. That exactly is the motto of this Forum.