Sun Pharma tanks 4% as Sebi orders forensic audit

Shares of Sun Pharmaceuticals dropped 4 per cent in Friday’s trade after capital markets regulator Sebi ordered a forensic audit of the drug maker as part of the ongoing investigation of the company on a whistleblower complaint in October last year.

The audit will look into financial statements of FY16, FY17 and FY18.

Following the development, the scrip fell 3.7 per cent to hit a low of Rs 415.90 on BSE.

In a filing to BSE, Sun PharmaNSE -2.15 % said it would adhere to legal and regulatory requirements and will ensure that any material developments in this regard are promptly notified to all our stakeholders.

October last year a whistleblower sent a letter to Sebi, numbering over 100 pages, alleging various corporate governance lapses at India’s largest drug maker.

The letter, according to analysts who viewed it, has alleged that the company lent money to Suraksha Realty a company owned by Sudhir Valia, former executive director of Sun Pharma. The whistleblower has also alleged that the company was dealing with banned traders such as Ketan Parekh.

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