JSW Steel did not resort to underreporting, says JSW Steel

JSW Steel did not resort to underreporting, says JSW SteelInternational foreign stock brokerage, Credit Suisse has said on Monday that it does not support under-reporting in the financial records of JSW Steel.

The company was clarifying on its adverse equity research report on JSW Steel last week that resulted in a sharp fall in the company's shares on Friday as investors lined up to sell the company's shares. The report had sad that the JSW's debt had been understated by Rs 11,900 crore but the company later said that it does believe there was under-reporting.

Credit Suisse issued the clarification after JSW held a series of meetings to release remarks on the issue.

Credit Suisse clarified by saying "we have no reason to suspect and it is far from the intent of our analysis. The phrase 'debt effectively higher' better describes what we sought to put across."

Analysts Neelkanth Mishra and Ishan Mahajan of the company had said in the report that JSW's net debt of Rs 16,600 crore for the financial year 2011-12 is low because it does not include acceptances of Rs 7,500 crore, securitised receivables of Rs 3,100 crore and Rs 1,200 crore from the fall in the rupee.