Sebi starts investigation into governance issues at InterGlobe Aviation

The market regulator has asked the company to give response to the allegations by July 19

The Securities and Exchange Board of India (Sebi) has initiated a preliminary enquiry into alleged corporate governance issues at InterGlobe Aviation, which operates IndiGo. According to sources in the know, the market regulator is likely to seek further details from the co-promoters of the company to ascertain the veracity of the matter. 

The move comes after Indigo co-promoter Rakesh Gangwal had sought the market regulator’s intervention, alleging that the other co-promoter Rahul Bhatia had misused powers to enter into related party transactions with IndiGo. On this, the regulator will examine the disclosures made to the stock exchanges under listing regulations, according