Sun Pharma share falls after firm says financial statements undergoing forensic audit

Sun Pharma share falls after firm says financial statements undergoing forensic audit

The share price of Sun Pharma fell 4.01% to Rs 414.60 after the company accepted the allegations of a SEBI ordered forensic audit on company’s financial statements.

“The Company is not aware of any information that could explain the movement in the price of the scrip as referred to the said news article quoting, ‘Sun Pharma slides 4% on report of Sebi ordering a forensic audit’,” Sun Pharmaceuticals said in the BSE filing adding that,” A forensic audit has been ordered by SEBI w.r.t. the financial statements of Sun Pharmaceutical Industries Ltd. for the financial years ending March 31, 2016, March 31, 2017, and March 31, 2018. The said forensic audit is presently ongoing.”

Following the notification to the stock exchanges, the stock price of Sun Pharma fell 4.01% to the day’s low of Rs 414.60 on BSE, against the last closing price of Rs 431.95. The stock price of Sun Pharma has fallen over 4.18% in a week’s period. Sun Pharma has moved below its 30, 50 and 150-day simple moving average in Friday’s trade. Overall 3.2 lakh shares and 60 lakh shares are currently trading on BSE and NSE, respectively.

“As an organisation, we are committed to adhering to all applicable legal and regulatory requirements and will ensure that any material developments in this regard are promptly notified to all our stakeholders in line with regulations,” Sun Pharma said in a statement.

Earlier this week, a media report had surfaced suggesting that the pharma giant was under SEBI forensic audit as part of the ongoing investigation of the company that was based whistleblower letter submitted to Sebi in October last year, numbering over 100 pages, alleging various corporate governance lapses at India’s largest drugmaker.

Meanwhile, at 11:10 IST, shares of Sun Pharma were trading 3.04% points lower at Rs 418.80 on BSE.