Maha Rashtra Apex Corporation Limited claims to be into leasing, hire purchase and bill discounting services. It has nine branches and one franchisee across the country. Over the past several years, the company has made no significant sales, barring in one year, and has been making huge operating losses. These losses get reduced at the net loss level because of the other income it receives.
This other income is the interest received on bank deposits. For FY15-16, sales were Rs1.26 crore whereas the operating loss was Rs6.84 crore. Net loss stood at just Rs8 lakh because of other income —of Rs9 crore. However, the stock has moved by 3702% in two years, from Rs3.68 on 17 March 2015 to Rs139.9 on 3 February 2017. Why? Maybe Securities and Exchange Board of India (SEBI) can tell, if their expensive surveillance system is working.