Sun Pharma slips 8% as Sebi starts probe; may reopen insider trading case
The stock settled 8% lower at Rs 455 on the BSE on reports that the market regulator Sebi has initiated an inquiry into the affairs of pharma major on the basis of a whistle-blower complaint.
 "Sun Pharma")
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FILE PHOTO: A bird flies past the logo of Sun Pharma installed on the facade of its corporate office in Mumbai | Photo: Reuters
Shares of Sun Pharmaceutical Industries ended 8% lower at Rs 455 on the BSE on reports that the market regulator, the Securities and Exchange Board of India (Sebi), has initiated an inquiry into the affairs of pharma major on the basis of a whistle-blower complaint.
The stock of drug firm dipped 10% to Rs 442 in early morning trade. The trading volumes on the counter jumped four-fold with a combined 66.3 million equity shares changed hands on the BSE and NSE today.
“The market regulator was in receipt of a 150-page letter in which the whistle-blower accused the company of committing corporate governance and tax-related lapses, besides other securities market-related violations,” the Business Standard reported quoting regulatory sources.
Sebi, according to sources, also plans to reopen an insider trading case against the company and its promoters that was settled through the consent mechanism, added report. CLICK HERE TO READ FULL REPORT
Sun Pharma, its Managing Director Dilip Shanghvi, and nine others had settled the insider trading probe, paying Rs 1.8 million against the settlement charges in 2017. On response to clarification on news report" Governance cloud over Sun”, the company said the said article refers to a note circulated by one of the securities firm.
The points raised in this note pertain to historic events, some of which are dated as far back as 10-15 years. Certain points raised in the said note are incomplete and have been presented in a negative manner. The supporting information to the points raised in the note has been sourced from public domain and hence this information/data is already available in public domain. Further, there is no material impact of the said news article on the Company.
Meanwhile, the company will hold an investor call today evening at 1830 hours, where senior management will update investors. CLICK HERE FOR CALL DETAILS
The stock of drug firm dipped 10% to Rs 442 in early morning trade. The trading volumes on the counter jumped four-fold with a combined 66.3 million equity shares changed hands on the BSE and NSE today.
“The market regulator was in receipt of a 150-page letter in which the whistle-blower accused the company of committing corporate governance and tax-related lapses, besides other securities market-related violations,” the Business Standard reported quoting regulatory sources.
Sebi, according to sources, also plans to reopen an insider trading case against the company and its promoters that was settled through the consent mechanism, added report. CLICK HERE TO READ FULL REPORT
Sun Pharma, its Managing Director Dilip Shanghvi, and nine others had settled the insider trading probe, paying Rs 1.8 million against the settlement charges in 2017. On response to clarification on news report" Governance cloud over Sun”, the company said the said article refers to a note circulated by one of the securities firm.
The points raised in this note pertain to historic events, some of which are dated as far back as 10-15 years. Certain points raised in the said note are incomplete and have been presented in a negative manner. The supporting information to the points raised in the note has been sourced from public domain and hence this information/data is already available in public domain. Further, there is no material impact of the said news article on the Company.
Meanwhile, the company will hold an investor call today evening at 1830 hours, where senior management will update investors. CLICK HERE FOR CALL DETAILS
Topics : Sun Pharma