Manpasand Beverages GST fraud case: Chirag Doshi resigns as director; shares plunge 42% in three days

Shares of Manpasand Beverages continued to fall on Wednesday, plunging over 42 percent in three days.

Press Trust of India May 30, 2019 07:56:08 IST
Manpasand Beverages GST fraud case: Chirag Doshi resigns as director; shares plunge 42% in three days
  • Shares of Manpasand Beverages continued to fall on Wednesday, plunging over 42 percent in three days

  • Some of the company's officials were taken under judicial custody following a search by the Commissioner of Central GST and Customs

  • The scrip on Wednesday tumbled 9.94 percent to close at Rs 63.40, its lower circuit limit, on the BSE

Mumbai: An independent director of Manpasand Beverages has resigned in the wake of search and seizure proceedings by Commissioner of Central GST and Customs at various premises of the company.

"... we would like to inform you that Chirag Doshi, Independent Director of the Company has tendered resignation from the post of Director of the Company with immediate effect i.e. 29 May, 2019.

"This resignation is mainly due to a press release issued by GST department," the company said in a BSE filing.

It further said Doshi also confirmed in a mail that there was no other material reasons other than provided in the letter of resignation.

Shares of Manpasand Beverages continued to fall on Wednesday, plunging over 42 percent in three days.

Some of the company's officials were taken under judicial custody following a search by the Commissioner of Central GST and Customs.

The scrip on Wednesday tumbled 9.94 percent to close at Rs 63.40, its lower circuit limit, on the BSE.

Manpasand Beverages GST fraud case Chirag Doshi resigns as director shares plunge 42 in three days

Manpasand Beverages products. Screengrab.

In a BSE filing on Saturday, Manpasand Beverages had said that the Commissioner of Central GST and Customs carried out search and seizure proceedings at various premises of the company on 23 May and the further inquiry was conducted on 24 May at GST Bhavan office of Vadodara.

"Abhishek Singh, Whole Time Director, Paresh Thakkar, Chief Financial Officer of the company and Harshvardhan Singh are under judicial custody of authority on 24 May 2019. The company is contesting these allegations in accordance with the due process of law," it had said in the filing.

In a filing on Saturday, the company had said, "We would like to inform you that Vishal Sood, Non-Executive Director of the company has tendered resignation from the post of Director with immediate effect i.e. 24 May, 2019. This resignation is mainly due to search from GST department."

The company's independent directors Bharat Vyas and Milind Babar, along with director Dhruv Agrawal also tendered their resignation.

The company informed the BSE that Vyas resigned due to "pre-occupation", while resignation of others is "mainly due to GST search".

On Monday, the company also informed the bourses about cancellation of its board meeting, which was scheduled to be held on 28 May, "due to unavoidable circumstances and also due to want of quorum during the board meeting".

Updated Date:

also read

Manpasand Beverages extends loses, shares tank 48% in four days
Business

Manpasand Beverages extends loses, shares tank 48% in four days

The scrip of the company tumbled 9.94 percent to close at Rs 57.10 -- its 52-week low as well as lower circuit limit -- on the BSE Thursday

Manpasand Beverages shares tumble over 53% in five days after company's officials were taken under judicial custody
Business

Manpasand Beverages shares tumble over 53% in five days after company's officials were taken under judicial custody

The scrip plummeted 9.98 percent to close at Rs 51.40 -- its 52-week low and also lower circuit -- on the BSE on Friday

Manpasand ties up with IRCTC's e-catering service Vadodara
Business

Manpasand ties up with IRCTC's e-catering service Vadodara

Manpasand is empanelled with the IRCTC for direct selling to vendors approved by the latter.