India's Amrutanjan Health Care sinks on whistleblower allegations

Amrutanjan Health Care

15/02/2023 06:46

BENGALURU, Feb 15 (Reuters) - Shares of India's
Amrutanjan Health Care Ltd  AJAN.NS  plunged as much as nearly
10% on Wednesday, a day after it said an anonymous whistleblower
complaint alleged some senior management of "undue enrichment"
and "conflict of interest."
    Amrutanjan's shares closed 1.4% lower on Tuesday after the
company disclosed the allegations, and were down 8.7% as of
12.14 p.m. IST on Wednesday.
    The complaint alleged "lapses by certain senior management
employees including undue enrichment through marketing,
advertising and procurement activities, ethical concerns and
conflict of interest etc," Amrutanjan said on Tuesday.
    It added that auditing firm Deloitte Touche Tohmatsu India
LLP was investigating the complaint and that it could not
determine the impact, if any, on its results before the
investigation was completed.
    Amrutanjan did not immediately respond to a Reuters' email
seeking further details on the complaint, including if the
company has conducted its own probe or if the managers were
still employed with the company.
    The Chennai, Tamil Nadu-based company reported a nearly 48%
year-on-year slide in profit after tax and an 11.8% fall in
revenue from operations in the third quarter ended Dec. 31 on
Tuesday after market hours.
($1 = 82.8600 Indian rupees)
 (Reporting by Hritam Mukherjee in Bengaluru; Editing by Janane
Venkatraman)
 ((Hritam.Mukherjee@thomsonreuters.com; +91 9830427878))