UPL share price: Uncertainty for investors after whistleblower complaint, even as management scrambles to do damage control
Kotak says UPL has witnessed its third governance related issue in CY2020, as an unauthenticated media article pointed out a whistleblower complaint suggesting siphoning of funds by the promoters, which was filed in June 2017 but not disclosed earlier by the company. Earlier in January 2020, there was a search conducted by the income tax department in the company’s premises and recently it was asked to file IT returns for the past six years. Subsequently in October 2020, the statutory auditor of UPL Corp., a material subsidiary based out of Mauritius for overseas business, tendered resignation.
UPL management indicated that business momentum is fairly robust amid healthy end-market demand environment and favourable agri-commodity prices: Reuters