I was reading this article about how Hindalco is hiding its loss due to acquisition of Novelis, how Tata hid its development charges for Indica using an innovative Securities Premium account.
Basically the asset is transferred to this account and depreciated without effecting the Profit and loss accounts. What is worse is that since Indian courts allow this scheme, more and more companies are taking the route and hiding the true shape of their balance sheet from the public.
