A company that was running a dubious scheme.
Dear Balbir Singh,
The pandemic’s fallout is gradually becoming starker, as names of the worst-hit companies emerge every day. Our lead story narrates how the viral outbreak-triggered crash in the markets in March exposed a company that was running a dubious scheme. Another company, MEP Infrastructure, which collects fees at five toll plazas, is also fighting for survival following the lockdown.
MARKETS
The Ponzi scheme that Anugrah ran
Anugrah Stock and Broking and its associate companies have duped 40,000 investors to the tune of INR1,400 crore. The firm lured investors with returns to the extent of 20% per annum. Naturally, the scheme was a topic of fervent discussion on social media. But how was it going to deliver on its promise? The method may surprise you.
ECONOMY
Why the MSP regime failed India’s farmers
The recent farm reforms aim to offer alternatives to the minimum support price (MSP) mechanism. Differences over its calculation, dwindling procurement infrastructure, variance in policies across states, and lack of support for lower-quality produce and small surpluses have handicapped the framework. Is it time to move away from the age-old system?
INFRA
MEP reels from the lockdown’s blow
From a lifetime high in 2017, MEP Infrastructure’s market capitalisation has shrunk to a tenth. If things don’t improve, the company, whose businesses include toll-collection, may join the long list of stressed infrastructure companies. Since toll collection in urban stretches is expected to remain low, ramping up its construction business may be the only way out for MEP.
Regards,
ET Prime Team