Wockhardt Pharma Shares Plunge 5% To ₹1,034.66 After Congress Alleges SEBI Chairperson’s Conflict Of Interest

The shares of Wockhardt Pharma Limited on Friday (September 6) posted a significant decline of over 5 per cent to Rs 1,034.66 per share. The drop was in response to the recent allegation of conflict of interest against market regulator chairperson Madhabi Puri Buch.

In the latest development, the Congress party has alleged Buch of having a conflict of interest involving Wockhardt. Following the Hindenburg report and its allegations against the SEBI chief and her husband of having offshore stakes, Buch has been in the spotlight for various factors.

The shares of the company today ended the week at Rs 1,034.55 per share, up by 5.00 per cent.

The shares of the company opened today at Rs 1,089.90 and fell to a low of Rs 1,034.55 during the trading session.

About the allegation against the SEBI

Congress leader Pawan Khera in a recent press conference has accused SEBI chairperson Madhabi Puri Buch of corruption and conflict of interest.

According to Khera, Buch had rented out a property to Carol Info Services Limited, a company associated with Wockhardt Ltd.

His claims are as follows:

- Buch reportedly rented out a property to Carol Info Services Ltd. This company, Khera claims, is connected to Wockhardt Ltd., a company that SEBI has been scrutinising.

- The rent Buch received for the property increased from Rs 7 lakh in 2018-19 to Rs 46 lakh in 2022-23.

- SEBI, under Buch’s leadership, has been involved in multiple cases concerning Wockhardt, including an insider trading case.

Following Khera’s press conference, the share price of the company dropped significantly.

Apart from this, Congress leader Jairam Ramesh, taking to the social media platform X, formerly Twitter wrote, "The question really has to be asked of the non-biological PM himself and nobody else. How much more evidence is needed to show the collapse of transparency and integrity, as far as the regulator of capital market is concerned? By the NSE's data there are now 10 crore Indians with unique PANs who have some form of investment in this market. Don't they deserve better? Why does he not move? What is he afraid of? Anyway, more to come...."