Regulatory pressure has increased on Indi-Go to disclose details of the dispute between the promoters with the Securities and Exchange Board of India and the ministry of corporate affairs asking the airline to submit all documents, including the EY report that examined the issue of related-party transactions.
While Sebi has specifically asked for the EY report, the MCA has asked IndiGo to respond point-bypoint to the 10 issues raised by Rakesh Gangwal, one of the promoters. “When a promoter owning 37% stake raises an issue, that needs to be looked into,” an MCA official said, without elaborating.
Apart from the EY report — submitted to IndiGo chairman M Damodaran in March — Sebi has also sought the shareholders’ agreement. The report, which has not been made public, was commissioned by Damodaran after he took charge in January. Read More