Shares of Amrutanjan Healthcare plunged 8.15% on the BSE on Wednesday, a day after it initiated a forensic investigation by Deloitte Touche Tohmatsu India LLP on an anonymous whistleblower complaint alleging some senior management of “undue enrichment” and “conflict of interest”.
The shares of the Chennai-headquartered company, popular for its pain relief products, closed at Rs 645.35 on BSE, sliding by Rs 57.25 or 8.15% from its previous close of `702.60.
The company received an anonymous whistleblower complaint alleging lapses by certain senior management employees, including undue enrichment through marketing, advertising and procurement activities, ethical concerns, and conflict of interest, Amrutanjan said in a communication to the BSE.
The company will extend its fullest cooperation and information to the forensic auditors during the investigation process as per applicable provisions of law. The company will also file the final report of forensic audit with comments of the management, if any, as per regulations, it said.
Amrutanjan’s current offerings have been segregated to three sub brands: Kick Out Pain for pain management, Relief for congestion management, and Purity for hygiene products. Apart from the products in the pain care, other categories include cough & cold care and health & home care. Its products are available in the Gulf, African, South East and Asian countries.
The company’s net profit in the December quarter declined by nearly half to `10.71 crore against `20.58 crore in the same quarter last year. Its revenue was marginally down to `108.36 crore from `123 crore.