Sebi inquiry clears Sun Pharma, finds no merit in allegations of fraud

The investigation team is of the view that the matter does not require further probe, said sources. The team sent its report to the Sebi committee for vetting

A preliminary enquiry by the Securities and Exchange Board of India (Sebi) has found no merit in allegation of violation of securities laws, levelled by a whistleblower, against pharmaceutical major Sun Pharmaceutical Industries, said two persons aware of the matter.

The market regulator had sought detailed answers on two queries — 1. Alleged fund diversion of Rs 42,000 crore, through the company’s key distributor and subsidiary, Aditya Medisales (AML); 2. On the company’s 2004 fund raising through foreign currency convertible bonds (FCCB). 

The investigation team is of the view that the matter does not require further probe, said sources. 

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