Comments
Shares of Adani group stocks fell on Monday after Deloitte resigned as auditor of the Adani group's port company.
Deloitte has resigned as auditor of the Adani group's port company, saying the auditor wanted a wider remit over other firms in the conglomerate following the report of a US short seller.
Shares of Adani Enterprises tanked 5.41 per cent, Adani Transmission fell by 4.77 per cent, Adani Power declined by 4.23 per cent, Ambuja Cements dived 4 per cent, and Adani Ports skidded 3.70 per cent on the BSE.
The stock of Adani Green Energy declined by 3.22 per cent, Adani Wilmar (3.14 per cent), Adani Total Gas (3 per cent), NDTV (3 per cent), and ACC (2.23 per cent).
In the equity market, the 30-share BSE Sensex quoted 335.61 points down at 64,987.04.
The resignation came weeks after Deloitte raised concern over certain transactions flagged in the report of Hindenburg Research.
Also read: Most PPP airports, including all Adani-run ones, made loss in FY23
In a statement, Adani Ports & Special Economic Zone (APSEZ) confirmed the resignation and appointment of M S K A & Associates as the new auditor.
Deloitte has been the auditor of APSEZ since 2017. In July 2022, it was given another five-year term.
"In Deloitte's recent meeting with APSEZ management and its Audit Committee, Deloitte indicated a lack of a wider audit role as auditors of other listed Adani portfolio companies. The audit committee was of the view that the grounds advanced by Deloitte for resignation as statutory auditor were not convincing or sufficient to warrant such a move," it said.
APSEZ conveyed that it was not within the remit of the firm and its board to recommend group-wide appointments as other listed Adani portfolio companies are completely independent, with separate boards, executive teams and minority shareholders.
"Following this, Deloitte was not willing to continue as APSEZ's statutory auditor and, therefore, it was agreed to amicably end the client-auditor contractual relationship between APSEZ and Deloitte," it said.
Comments
Comments
Comments have to be in English, and in full sentences. They cannot be abusive or personal. Please abide by our community guidelines for posting your comments.
We have migrated to a new commenting platform. If you are already a registered user of TheHindu Businessline and logged in, you may continue to engage with our articles. If you do not have an account please register and login to post comments. Users can access their older comments by logging into their accounts on Vuukle.