The Ministry of Company Affairs, Government of India has issued a fresh public notice to investors of vanishing companies, including those in pharma. The notice stated that the capital boom of 1993-94 witnessed a large number of companies tapping the capital market through public issues. Some companies, which had raised funds by making public issues later, vanished with the investor's money.
The notice further added that with a view to bring such vanished companies to book, action was initiated against them by the Central Government in co-ordination with the State Governments. FIRs have been filed in a number of cases under the relevant provisions of penal code in addition to the prosecutions for violation of various provisions of the Companies Act, 1956. Action against these companies is also being regularly monitored through a coordination and monitoring committee comprising the representatives of company affairs and SEBI.
The Ministry has sought complaints from individual investors, NGOs, and associations of investors aggrieved by the actions of these companies.
The pharma companies that formed part of the list of vanished companies published by the ministry include Oriental Remedies and Herbals Ltd and Quality Pharmaceuticals Ltd in West Bengal, in the eastern region.
Hallmark Drugs & Chemicals Ltd (formerly known as Lifeline Drugs Limited) in Punjab. Siddhartha Phamachem Limited in Kanpur, under Northern region. Unicorn Pharmaceuticals Limited from the Southern region also formed part of the list.
Asahi Industries Limited (formerly known as Asahi Pharmachem Limited), Manav Pharma Limited and Shree Yaax Pharma & Cosmetics Limited are the companies listed from Ahmedabad and Hitech Drugs Limited from Madhya Pradesh, in the Western region.