Ranbaxy Labs top loser

Ranbaxy Labs is currently the top loser on the BSE, down over 7% at Rs.402.35, with an intra day low at Rs.401. Its 52-week low stands at Rs.370.50.

The stock is down the red after Daiichi, the Japanese owners of the company today, plan to sue the former promoters of the company – Malvinder Singh and Shivinder Singh as Daiichi believes thast they concealed and misrepresented critical information concerning the US Department of Justice and FDA investigations. The Japanese company is thinking of suing them for reputational damage and to reclaim the $500-million penalty that Ranbaxy had to pay to settle criminal and legal suits levelled against it in the US. The company y hopes to state that it was kept in the dark about the full nature of the investigations when the company was being sold to Daiichi.