Sun Pharma share price plunges more than 12% after whistleblower complaints resurface

By: | Updated: January 18, 2019 10:36 AM

Sun Pharma share price today open at Rs 425.50 and soon tanked by more than 12% to Rs 370.20 apiece from the previous close on BSE. The tumble in shares comes after Moneylife opened up whistleblower documents for institutional investors.

sun pharma, EIR, FDA, USFDA, HalolSun Pharma share price: The tumble in shares comes after Moneylife opened up whistleblower documents for institutional investors. (Reuters)

Sun Pharma share price: Shares of India’s major pharma firm Sun Pharmaceutical Industries Ltd extended losses in the early morning trade on Friday, after reports of whistleblower complaints to the Securities and Exchange Board of India (SEBI) resurfaced. Sun Pharma share price today open at Rs 425.50 and soon tanked by more than 12% to Rs 370.20 apiece from the previous close on BSE. The tumble in shares comes after Moneylife opened up whistleblower documents for institutional investors.

According to the latest report by Moneylife magazine, between 2014 and 2017, Aditya Medisales (AML) had over Rs 5,800 crore of transactions with Suraksha Realty, controlled by Sun Pharma’s co-promoter, Sudhir Valia. This is according to a new 172-page complaint (with documents) sent by the whistleblower on Sun Pharma to the market regulator, Securities and Exchange Board of India (SEBI).

At 10:15 AM (IST), shares of the drug major were trading at Rs 383.70, down 10.17%, after touching an intraday low of Rs 375.40 and an intraday high of Rs 425.50 from their previous close on BSE.

ALSO READ: Share Market Live: Sensex up 50 points, Nifty above 10,900; RIL shares surge, Sun Pharma down 12%

Meanwhile, the domestic stock markets –Sensex and Nifty–opened higher today, tracking positive global cues. Sensex is up about 51 points to 36,425.16, while the Nifty is trading above the 10,900-mark.

Sun Pharmaceuticals has been battling corporate governance issues for a very long time. Last month, in a letter sent to the capital markets regulator SEBI, a whistleblower alleged that Sun Pharmaceutical Industries founder and managing director Dilip Shanghvi and his brother-in-law Sudhir Valia were engaged in financial irregularities with Dharmesh Doshi, a key figure from the 2001 Ketan Parekh scam, PTI reported.

In the month of August, Sun Pharmaceutical, Dilip Shanghvi and nine other entities settled an insider trading probe on payment of Rs 18 lakh towards settlement charges.

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Switch to Hindi Edition