MUMBAI – An Indian e-commerce company Infibeam Avenues, Apple products retailer, lost around 70 percent of its market value in a single reportedly after a WhatsApp message duped scores of investors, which was later found false.
The message circulating among traders raised concerns about the firm’s accounting practices on the eve of a shareholders’ meeting.
The WhatsApp message mainly informed that the firm had issued interest-free and unsecured loans to its units, reported Bloomberg.
Infibeam offered unsecured, interest-free loans of Rs 1.35 billion to related firms for business operations as of March 31, according to the annual report of the company.
The Gujarat-based firm put out a statement seeking to calm investors’ nerves, saying that “no pending information or announcement” was due that would impact its stock price.
Infibeam Avenues deals in providing software development services, maintenance, web development, e-commerce, and other ancillary services.
