Hikal Settles Disclosure Lapses Case With Sebi

New Delhi: Pharmaceutical and biotech firm Hikal has settled with capital markets regulator Sebi a case of alleged violation of disclosure lapses by paying nearly Rs44 lakh in settlement fee. The settlement order came after the noticee (Hikal Ltd) proposed to settle the instant proceedings initiated against it, without ‘admitting or denying the findings of facts and conclusions of law’. The Securities and Exchange Board of India (Sebi) initiated adjudication proceedings against Hikal for the alleged violation of the provisions of LODR (Listing Obligations and Disclosure Requirements) regulations.

Thereafter, the regulator issued a show cause notice (SCN) to Hikal on August 22, 2023, for the alleged violations. The SCN stated that Hikal failed to disclose information. The show cause notice also alleged that Hikal failed to give adequate and timely disclosures and gave false and misleading disclosures to the stock exchanges with respect to seven events related to an incident which occurred due to the illegal discharge of a hazardous chemical, Sodium Hydrosulphide (NaHS), from a tanker.