Going gets tough for Elder Pharma COO

Trouble is mounting for Anuj Saxena, chief operating officer of Elder Pharmaceuticals as the Central Bureau of Investigation has secured a non bailable warrant against him in a bribery case.

Saxena is accused of paying bribes to former director general of corporate affairs ministry B K Bansal to hush up an investigation against the firm.

Anuj is the younger son of Jagdish Saxena, the late founder of Elder Pharmaceuticals. He has acted in television serials including a popular soap Kkusum.

But events in the recent months have not gone according to his script.

In July the CBI arrested Bansal for accepting Rs 9 lakh in bribe for not ordering a Serious Fraud Investigation Office probe against Elder Pharma.

Bansal and his 30 year old son Yogesh committed suicide in September accusing CBI of harassment. Two months earlier, his wife and daughter ended their lives citing the same reason.

The Mumbai based firm was already in thick of controversy facing multiple complaints of defaults of fixed deposit payments and winding up petitions.

According to the CBI the firm owes over Rs 150 crore to fixed deposit investors and over Rs 1500 crore to lenders and creditors.

Elder Pharma's last communication to the stock exchange was in February to inform the appointment of new independent directors. In July the exchange sought a response on media reports of default but there was none. Last October, it informed the exchange it was trying to raise funds and exploring sale of its subsidiaries in Britain and Bulgaria. The firm had then said litigations were being filed against it to malign its image.

In 2014, the company sold two of its divisions comprising 30 brands to Torrent Pharma for Rs 2,004 crore.

Experts cannot understand why despite this huge cash flow and its substantial assets, the company has not been able to meet its small commitments. Business Standard reported in  April some write-offs and other entries in the company's books were also  questioned by its auditors.