Goldman Sachs today downgraded IRB Infrastructure Developers to "neutral" from "buy" and lowers its sum-of-the-parts target price to 136 rupees from 184 rupees. Stock last down 6% to 120.80 rupees.
This took the company's scrip down by 11% from previous closing.
Goldman took action after the company announced that three executives had agreed to take a polygraph test, connected to the police investigation of the 2010 murder of a man described as an anti-corruption activist.
Among executives investigated is Chairman Virendra Dattatray Mhaiskar, who told Reuters he is innocent and not connected to the murder.
The investment bank says the investigation creates uncertainty about value attributable to future projects and creates overhang on the stock.
The stock has fallen 23.3% in the previous two sessions.
