ADAG stocks tumble post SC verdict; stay away from them for now: Experts

Shares of Anil Dhirubhai Ambani Group (ADAG) companies tumbled by up to 11 per cent on the BSE in intra-day trade on Wednesday after an unfavorable Supreme Court (SC) verdict in Ericsson contempt case.

In a big setback for Anil Ambani, the SC today held Reliance Group chairman and its two directors guilty of contempt in pleas filed by telecom equipment maker Ericsson for not clearing its dues of Rs 550 crore. Court asked Ambani to pay Rs 453 crore to Ericsson in four weeks, failing which he will have to serve three months of jail term.

Additionally, apex court has also imposed a fine of Rs 1 crore each on them; if not deposited within a month, they will have to serve one month in jail.