KRBL CMD says independent director allegations 'false'; to appoint external auditor

Anil Kumar Mittal, Chairman And Managing Director of KRBL Ltd., has termed all the allegations made by former Independent Director Anil Kumar Chaudhary in his resignation letter, as false.

Shares of KRBL fell as much as 12% on Monday, September 15, after Anil Kumar Chaudhary, an independent director on the company's board, resigned citing corporate governance issues.

In an interaction with CNBC-TV18 on Monday, Mittal said that the board has approved the appointment of an external auditor to vet the allegations made by Chaudhary in his letter. He added that it will take about 30 days to go into the details of the six or seven allegations that Chaudhary has made.

"I think these things will come (out) in a transparent manner after 30 days. "Let the independent auditors make their review on the subject, and that will be more authenticated," Mittal said.

The information regarding Chaudhary's resignation was shared to the exchanges last week, but KRBL made details of his letter public only on Sunday.

Mittal attributed the delay in making the letter public to the language shared by Chaudhary in his letter, which "came as a surprise" to the board. "We were trying to articulate within ourselves that all of a sudden he has had to write such a letter, and that took as four five extra days to reply with he letter," the KRBL CMD said.

Shares of KRBL are down 10% on Monday at ₹400.7. Over 1.1 crore shares of KRBL have changed hands in today's trading session, well above its 20-day average of just 7 lakh shares.