KRBL tanks 19% as ED arrests Joint MD in AugustaWestland case

The Joint Managing Director Anoop Kumar Gupta has been sent to 5 days custody of Enforcement Directorate in the AgustaWestland Money Laundering case

Shares of KRBL tanked 19 per cent to Rs 191 on the BSE in the intra-day trade on Monday on the back of heavy volumes after the company said its joint Managing Director (MD) Anoop Kumar Gupta has been sent to 5 days custody of Enforcement Directorate (ED) in the AgustaWestland Money Laundering case.

"With reference to our earlier intimations from time to time, this is to inform you that the Joint Managing Director, Anoop Kumar Gupta, is detained by the Enforcement Directorate (ED) while cooperating with the investigation in the AugustaWestland case. He was subsequently sent to 5 days custody of ED as opposed to the 14 days sought vide the order of Special Judge, Rouse Avenue Courts dated 30 January 2021," KRBL said in an exchange filing.

The company further said Gupta has nothing to do with the AugustaWestland case. KRBL or Gupta was neither named in the charge-sheet/complaints nor has he been arrayed as an Accused in the Augusta Westland Case.

"We are confident that the above stated matter will be resolved and we will take appropriate legal action in due course," the company said.

Gupta was detained for further investigation into the affairs of Rawasi Al Khaleej General Trading (RAKGT) LLC, Dubai, where KRBL had indirect minority shareholding. The transactions in question happened after 31 March 2009 when, KRBL had already transferred its entire indirect shareholding in RAKGT.

All transactions between KRBL and RAKGT after 31 March 2009 pertained to sale of rice. Such transactions were duly made through the proper banking channel and were disclosed in compliance with the law, the company said. CLICK HERE FOR STATEMENT

At 10:41 am, KRBL was trading 16 per cent lower at Rs 199 on the BSE, as compared to a per cent rise in the S&P BSE Sensex. The trading volumes on the counter jumped an over 10-fold with a combined 2.6 million equity shares having changed hands on the NSE and BSE till the time of writing of this report.