No grant of extension to Elder pharmaceuticals to repay investors: Bombay HC
Advertisement
The Bombay HC has refused to grant extension to Elder Pharmaceutics to repay investors money on the grounds of protecting the investor’s interest, especially the small investors who have put their life savings in the pharma company. Elder Pharmaceuticals has to repay money to the tune of Rs 155 crore to various investors.
The court implied that pharma companies cannot be given an indefinite extension as it affects considering strongly the sentiments of many small investors in the company.
The HC has also given its opinion on the existing financial condition of the company, saying that it may not be possible for the company to repay immediately as it already has to settle a debenture loan to the tune of 263 crore. It may not be in a position to repay at all, as implied by the court.
Justice S C Gupte last week rejected an appeal filed by the company challenging an order passed by the Company Law Board (CLB) refusing to grant further time to repay the deposits.
The court implied that pharma companies cannot be given an indefinite extension as it affects considering strongly the sentiments of many small investors in the company.
The HC has also given its opinion on the existing financial condition of the company, saying that it may not be possible for the company to repay immediately as it already has to settle a debenture loan to the tune of 263 crore. It may not be in a position to repay at all, as implied by the court.
Justice S C Gupte last week rejected an appeal filed by the company challenging an order passed by the Company Law Board (CLB) refusing to grant further time to repay the deposits.
Our comments section is governed by our Comments Policy . By posting comments at Medical Dialogues you automatically agree with our Comments Policy , Terms And Conditions and Privacy Policy .
Disclaimer: This website is primarily for healthcare professionals. The content here does not replace medical advice and should not be used as medical, diagnostic, endorsement, treatment, or prescription advice. Medical science evolves rapidly, and we strive to keep our information current. If you find any discrepancies, please contact us at corrections@medicaldialogues.in. Read our Correction Policy here. Nothing here should be used as a substitute for medical advice, diagnosis, or treatment. We do not endorse any healthcare advice that contradicts a physician's guidance. Use of this site is subject to our Terms of Use, Privacy Policy, and Advertisement Policy. For more details, read our Full Disclaimer here.
NOTE: Join us in combating medical misinformation. If you encounter a questionable health, medical, or medical education claim, email us at factcheck@medicaldialogues.in for evaluation.