Dilip Shanghvi-led Sun Pharma has reportedly helped realty firm Suraksha Realty, owned by the brother-in-law of Sanghvi, raise funds through pledging the drug-making company's shares, said a media report.
Suraksha Realty, owned by Sudhir Valia, raised money using Sun Pharma shares as collateral at least thrice during the past two years. The latest pledge comes from Valia's firm and another owned by Shanghvi, said a report in The Economic Times.
Shanghvi Finance, which is a major shareholder in Sun Pharma, pledged a portion of its stake in India's largest drugmaker to facilitate Suraksha Realty for raising Rs 100 crore through commercial paper, the report said.
In December 2018, markets regulator Securities and Exchange Board of India (SEBI) had said it was examining the whistleblower complaint against Sun Pharmaceutical Industries.
A whistleblower had in November 2018 approached SEBI with a document alleging various irregularities by the company, its promoter Shanghvi and others.
"There is whistleblower complaint which we are examining. I have nothing more to add," SEBI chairman Ajay Tyagi told reporters.
Sources had told PTI in November 2018 that SEBI might reopen an insider trading case against Sun Pharma and as well as probe alleged lapses by some of its promoters and other entities in raising funds overseas.
Following this, Shangvi, who is also the managing director of the pharma firm, had said it has not received any query so far from the markets regulator regarding the whistleblower complaint.
"We are following highest levels of corporate governance at Sun Pharma," Shanghvi had said.
In August 2017, Sun Pharmaceutical, Shanghvi and nine other entities settled an insider trading probe on payment of Rs 18 lakh towards settlement charges.
However, reports have stated that the regulator is likely to reopen the case as it has powers to reopen cases of a settlement related to insider trading on various grounds.
The sources had said that alleged irregularities by the company's promoters and others in raising funds through Foreign Currency Convertible Bonds (FCCBs) are also likely to be investigated by the watchdog.
In August 2017, the regulator had not disclosed the details of the insider trading case.
However, it had appeared to be related to the acquisition of Ranbaxy by Sun Pharma from Japanese drugmaker Daiichi, as the settlement with the regulator has also been done by former Ranbaxy CEO Arun Sawhney, Daiichi's director Kazunori Hirokawa, its ex-Chairman Takashi Shoda and its former senior executive officer Tsutomu Une.
" With PTI inputs
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