One of the big side effects of the new auditor regulatory policy has been the spate of auditor resignations across a range of companies, including Inox Wind, Atlanta and Maspasand Beverages. Across many cases, the financial irregularities were well-hidden in the balance sheets, and one company in particular stands out - Manpasand Beverages, about which many analysts were bullish about. Due to previous calls, the stock continues to have a 20% upside on average broker target price according to analysts - see this screener.

Manpasand was getting BUY calls from across analysts, including Motilal Oswal, Axis Direct, Karvy and others, with an aggressive BUY from AxisDirect in April this year. Motilal Oswal had looked at the financials and valuations of the company and noted that despite some delays, growth was on track. Manpasand Beverages is an object lesson: until the reporting standards of companies improve, even the most well-informed investors can get burned.