I told Uday Kotak about this "bug" on August 28, 2007 ....

Like the nice customer that I am, I actually emailed their board of directors about this "differential pricing" on August 28, 2007, but they didn't even give me the courtesy of a reply.

Date: Tue, 28 Aug 2007 02:15:54 -0700 (PDT)
From: *****
Subject: Complaint - Differential prices offered on Kotaksecurities.com
To: arpit.desai@kotak.com, Hemal Vakil //Kotak/Bank ,
Ajit Pillai //Kotak /Bank ,
Mayank Patel //Kotak /Bank ,
Narendra Agrawal //Kotak /Bank ,
Sujit Sood //Kotak /Bank ,
"ajay.sondhi@kotak.com" ,
"ajaychawla@lgezbuy.com" ,
"ajaykumar.kv@kotak.com" ,
"c.jayaram@kotak.com" ,
"chetan.dave@kotak.com" ,
"dipak.gupta@kotak.com" ,
"gaurang.shah@kotak.com" ,
"jignesh.thakkar@kotak.com" ,
"rohan.shankar@kotak.com" ,
"swati.singh@kotak.com" ,
"uday.kotak@kotak.com"


Dear Sirs,

Please find attached "optional" opening and closing prices for the stock "Leela Hotels" as offered by Kotak Securities. The doc file has snapshots of both moneycontrol prices and Kotak prices and the other two are individual bmps of the same. Your` portal is misleading me into believing that the Leela Stock has fallen by Rs 7 yesterday while actually it has gone up by Rs 0.50, and I actually bought 100 shares yesterday. I have had this problem for quite some time now; Kotak seems to have its own price for stock on its securities portal.

Please explain and set this right ASAP. I expect a reply to my query in 48 hours, you dont have to essentially have an explanation, but an acknowledgement of this fact will be enough. You can explain the differential pricing policy by the end of the week.

Regards
*****

To see how Kotak Bank treats me as a customer please visit http://kotakbank.blogspot.com/

The differential pricing plan...

Kotak Securities has a lot of holes in its software. When you login to Kotak Securities and go to a scrip that you have under the "marketwatch" link, you have a list of securities that you are interested in. Kotak has different prices for the scrip under the "Open" heading.

When you click on a scrip like "Shaw Wallace Industries", It shows you
the "High Price" as 178.00
the "Low Price" as 170.30
the "Open Price" as 174.25
the "LT Price" as 260.00 (last traded prices is Rs 260!!!)
the "% Change" as 50.99

Thus customers are mislead into beleiving that "Shaw Wallace Industries" has gained 50.99% today!!! Even if they did design their software for the lowest price possible, how exactly did they overlook the fact that a scrip cannot gain 50% in a single day??

www.moneycontrol.com clealy shows that the stock opened in the same range and that this price of Rs 178 is a couple of months updated....

But that is not all... Kotak claim the stock of Hotel Leela went down by 10.05% yesterday....

High 48.70
Low 47.00
Open 48.40
Close 47.75
Last Change No Change
% Change -10.05
LT Price 42.95
LT Qty 75

"Think Investments, Think Kotak"

To know about how I am treated by their bank, visit http://kotakbank.blogspot.com

Kotak Securities' pricing for stock of Hotel Leela

This is a screenshot taken that prompted me to purchase stock of Hotel Leela. I thought the stock had gone down by 15.81% and actually purchased it.




This is a screenshot taken after a couple of minutes off the website of www.moneycontrol.com that shows that the stock has actually appreciated in value!!!

I was fooled into believing that I was picking up a stock cheap!!!!


To know about how I am treated by their bank, visit http://kotakbank.blogspot.com