ZEEL shares fall nearly 3 pc after former directors flag issues

Shares of Zee Entertainment Enterprises on Thursday declined nearly 3 percent after the company said two of its former directors had raised concerns over several issues. Intra-day, the scrip of the company fell 5.38 percent to a low of Rs 302.30. It managed to pare some losses to close at Rs 310.80, down 2.72 percent over the previous close.

On the NSE, the scrip touched a low of Rs 302.20 during the day, down 5.41 percent. Later, the stock settled 2.50 percent down at Rs 311.50. In terms of volume, 24.32 lakh shares of ZEEL were traded on the BSE, while over 5 crore units changed hands on the NSE.

Two former directors of Zee Entertainment - Subodh Kumar and Neharika Vohra - who resigned from its board had raised concerns over several issues including Rs 2,200 crore film advance given in 2018-19, according to a regulatory filing by the firm. Kumar and Vohra also raised the matter of "a scheduled bank" appropriating "Rs 200 crore of the company's fixed deposits towards promoter loans and the management did not take legal action".

ZEEL, however, said issues pertaining to the wrongful revocation of the bank guarantee stand resolved with the company having being secured by the promoter companies and appropriate legal notices were sent to the bank at the relevant time.