Mankind Pharma premises raided on tax evasion allegations

NEW DELHI: The Income Tax department on Thursday conducted raids on the premises of Mankind Pharma over allegations of tax evasion, official sources said.

Company premises and plants in Delhi and nearby locations are being covered and documents are being checked apart from the questioning of company executives as part of the searches launched early in the morning, they said.

The action came two days after the company made its stock market debut on Tuesday. In a BSE filing, Mankind Pharma said it was extending “full cooperation” to the department. “We hereby inform you that the Income Tax Department is conducting a search at some of the premises/plants related to the company and some of its subsidiaries. “The officials of the company and its subsidiaries are cooperating with the officials of the Income Tax Department and are responding to the queries raised by them,” it said. This action, the company said, has had no impact on its operational performance.

“This is the only information that we are able to provide at this stage. Once the search by the Income Tax Department concludes, the Company will update the Stock Exchanges in case of any material information/event,” it said. “Mankind Pharma Limited is an ethical and law abiding Company and follows the best corporate governance practices. We are extending our full cooperation to the officials of the Income Tax Department in this regard,” it added.

Mankind Pharma had also launched its IPO this year. The Rs 4,326-crore initial share sale of Mankind Pharma received 15.32 times subscription last month. Incorporated in 1991, Mankind Pharma is engaged in developing, manufacturing and marketing a diverse range of pharmaceutical formulations across various acute and chronic therapeutic areas, as well as several consumer healthcare products.

Its product portfolio includes Manforce condoms, Prega News pregnancy test kits and Gas-O-Fast sachets.