Arshiya share was down 4.91% to close at R46.45 on Monday on the BSE. The companys shares have lost 61% of their value in the last one month.
The company told BSE that its promoters, executive director & CFO have decided to forego 50% of their remuneration from October 1, 2012. The management and the board have also decided to appoint an independent professional firm to submit its report to the audit committee of the board of directors.
Arshiya International, which has a market capitalisation of R391 crore, has appointed SBI Capital Markets to advise it. The companys woes began after it invested R80 crore for expansion at its free trade and warehousing zone in Khurja, as it was denied a loan for the same amount. Shrinking orders also affected the company.
Earlier this month, it laid off about 290 employees, but this led to labour strife alleging outstanding salaries had not been paid. However, Ajay Mittal, the group chairman and MD, told FE last week that there were no irregularities regarding salaries.