Friday, May 19 2006 11:34 Hrs (IST) - World Time -

New Delhi: The BJP yesterday (May 18, 2006) accused the Centre of manipulating the stock market saying it suspected Finance Minister P Chidambaram's involvement in Sensex's volatile movements over the past few days.

"This unprecedented volatility and the statements given by P Chidambaram cast a shadow and question mark on the role of the FM who seems to be acting as a super operator and a super chairman of SEBI and not as the country's Finance Minister," the party said in a statement after its investors cell meeting here.

The BJP also sought Prime Minister Manmohan Singh's intervention to protect the interest of small investors as Sensex today fell to its biggest point drop ever.

Some of the drop was attributed to declines on global markets, but some brokers said the biggest trigger came from a vague notice in a government circular that some feared could lead to higher taxes on foreign funds that invest in Indian stocks.

"We charge the government with manipulating Sensex for its political gains and ignoring the interests of small investors. If the UPA government fails to safeguard the interests of small investors, the BJP will hold the government responsible for its acts of omission," it said.