Eros International slumps 20% after India's markets regulator bars group entities, MD

BENGALURU (Reuters) -Shares of Eros International Media Ltd fell as much as 19.92% after India's markets regulator on Thursday barred parent Eros Group's managing director Sunil Arjan Lulla and three of the group's units from the securities market, citing accounting irregularities.

The Securities and Exchange Board of India (SEBI) said in an interim order that it had found evidence that the books of accounts of the company were "overstated and do not present a true and fair picture of the financial health of the Company."

The SEBI has barred Eros International Media Ltd, Eros Worldwide and Eros Digital from the securities market until further orders.

Eros International Media said in an exchange filing that it was in the process of seeking legal advice in the matter.

Its stock - seeing the most active trading session since August 2022 - posted its biggest percentage loss in four years before paring some of its losses to trade down 15.37% at 22.30 rupees, as of 9:49 a.m. IST.

(Reporting by Ashish Chandra in Bengaluru; Editing by Dhanya Ann Thoppil and Nivedita Bhattacharjee)