India Cement cracks

India Cements has cracked up today. The stock is currently down almost 4% at Rs.48.40, with an intra day low at Rs.47.10. Its 52-week low is at Rs.43.

The stock is down in the red after the MD of the company, N Srinivasan was named in one of the three chargesheets the Central Bureau of Investigation (CBI) filed on Tuesday in a special court in the corruption case involving YSR Congress party chief YS Jaganmohan Reddy. The chargesheet specifically names India Cements, stating that the company had allegedly invested Rs 140 crore into Jagan's businesses in return for the benefits it received from the then government of Jagan's father, YSR Reddy. Two other companies - Penna Cements and Bharati Cements have also been named for having made quid pro quo investments in Jaganmohan Reddy's business.