Business

ED Raids Hero MotoCorp Chairman Pawan Munjal’s Residence; Share Price Plummets

By
OB Bureau

New Delhi: Hero MotoCorp today issued a confirmation on the visit by Enforcement Directorate (ED) officials at the residence of the company’s chairman Pawan Munjal.

ED officials also visited company offices in Delhi and Gurugram.

“Officials from the Enforcement Directorate today visited two of our offices in Delhi and Gurugram and the residence of our Executive Chairman Dr Pawan Munjal. We continue to extend all cooperation to the agency,” Hero MotoCorp informed the stock exchanges.

Searches were carried out at the two locations in accordance with provisions of Prevention of Money Laundering Act (PMLA), CNBC TV-18 reported.

The raids triggered a sharp fall in share price of the company — its worst in over a year during intraday trading.

The raid took place after the after took cognisance of a Directorate of Revenue Intelligence (DRI) case against a person, allegedly close to Munjal, who was investigated on charges of carrying undeclared foreign currency.

Hero MotoCorp shares fell over 4%, and traded at a year’s low of Rs 3,064. It settled at Rs 3,103 on the BSE at the close of Tuesday’s market hours, which was 3.14% lower than the previous day.

OB Bureau

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