It could probe the company on the basis of possible violations of the takeover code or under laws governing fraudulent trade practices, if it is found Daiichi’s claims are true and information was withheld on investigations into Ranbaxy by American authorities, say lawyers.
Brothers Malvinder Singh and Shivinder Singh, former promoters of Ranbaxy, have denied Daiichi’s allegations.
On Wednesday, Daiichi had alleged concealment and misrepresentation of information regarding investigations into the company by the US Department of Justice and the US Food and Drug Administration.
Somasekhar Sundaresan, partner, J Sagar Associates, said Sebi had jurisdiction in such matters.
“Sebi’s Prohibition of Fraudulent and Unfair trade Practices Regulations provide concealment of material facts to induce dealing in securities is a fraudulent/unfair trade practice relating to the securities markets,” he said.
Sebi officials didn’t respond to a query from Business Standard.
P R Ramesh, senior consultant, Economic Laws Practice, said under Sebi’s takeover code, any non-disclosure might be viewed in the light of the provisions
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