Hatsun Agro Product has taken disciplinary action against its Chief Financial Officer following an inadvertent disclosure of sensitive financial information through social media. The incident has prompted immediate compliance measures and the formation of an investigation committee to address potential regulatory violations.

Incident Details and Timeline

On January 5, CFO H Ramachandran inadvertently disclosed draft third quarter financial results on his personal WhatsApp status. The sensitive information was visible to approximately 19 people in his contact list, including company insiders, before he deleted the status within an hour of posting.

Company Response and Compliance Measures

Hatsun Agro Product issued a caution letter to the CFO, emphasizing the need for greater care in handling unpublished price sensitive information (UPSI). The company stated it has directed strict adherence to regulatory requirements to prevent recurrence of such incidents.

The Company Secretary and Compliance Officer compiled a comprehensive list of all persons who viewed the WhatsApp status, including their PAN details. This information was updated in the company's Structured Digital Database (SDD) as part of the designated persons list.

Immediate Protective Actions

To comply with SEBI regulations under the Listing Obligations and Disclosure Requirements Regulations, 2015, the company took several immediate steps:

• Trading window was immediately closed for all persons exposed to UPSI
• PAN details of affected individuals were frozen at the NSDL Issuer Services Portal
• All actions were documented for compliance and monitoring purposes

Investigation Committee Formation

An Insider Trading Investigation Committee (ITIC) was constituted on January 6 to thoroughly investigate the matter. The committee comprises:

• Vice Chairman: C Sathyan
• Managing Director: J Shanmuga Priyan
• Company Secretary and Compliance Officer: C Subramaniam

The committee has documented all actions taken, including the detailed timeline of events and the complete list of identified persons who were exposed to the sensitive information.

Market Impact and Upcoming Results

Shares of Hatsun Agro Product settled 1.70% lower at ₹930.55 on the BSE ahead of the disclosure, compared to a 0.30% decline in the benchmark Sensex. The company's board is scheduled to consider and approve the December quarter results on January 19.

The incident highlights the critical importance of maintaining strict confidentiality protocols for financial information, particularly in the digital age where social media platforms can inadvertently become channels for sensitive data disclosure.

Hatsun Agro Product Limited has submitted a comprehensive action taken report to BSE and NSE following an inadvertent leak of unpublished price sensitive information (UPSI) through social media. The incident involved the company's Chief Financial Officer accidentally posting draft financial statements on his personal WhatsApp status.

Incident Details and Timeline

On January 4, 2026, at approximately 5:00 PM, Mr. H Ramachandran, the company's Chief Financial Officer, inadvertently uploaded draft financial figures for the quarter ended December 31, 2025, to his personal WhatsApp status. The CFO was sharing preliminary unaudited financial statements internally with the accounts department when the accidental posting occurred.

The CFO deleted the WhatsApp status within an hour of posting upon realizing the error. However, the draft figures, which potentially constituted UPSI, were viewed by approximately 19 people in his contact list, including some company insiders.

Immediate Response and Corrective Actions

Upon learning of the incident on January 5, 2026, at 9:00 AM, Company Secretary and Compliance Officer C Subramaniam initiated immediate corrective measures. The company notified stock exchanges at 5:50 PM on January 5, 2026, following internal verification of the incident's accuracy and materiality.

The company implemented several protective measures to prevent potential misuse of the leaked information:

• Updated all 19 exposed individuals in the company's Structured Digital Database (SDD)
• Immediately closed trading windows for all persons exposed to UPSI
• Froze PAN details of affected individuals at NSDL Issuer Services Portal
• Informed the Board of Directors and Audit Committee simultaneously with stock exchange notification

Investigation Committee Formation

An Insider Trading Investigation Committee (ITIC) was constituted on January 6, 2026, comprising three senior officials:

The committee documented all actions taken, including the detailed timeline of events and list of identified persons, for compliance and monitoring purposes.

Regulatory Compliance and Penalties

The company reported this as its first insider trading violation since the last financial year. No financial penalties were imposed given the inadvertent nature of the incident and the preliminary status of the shared information. Instead, a caution letter was issued to the CFO, emphasizing obligations under the company's Insider Trading Code and directing stricter adherence to regulatory requirements.

The action taken report was submitted in compliance with SEBI Master Circular No. SEBI/HO/ISD/ISD-PoD-2/P/CIR/2024/126 dated September 23, 2024, and the company's Code of Conduct under SEBI regulations. The company emphasized its commitment to high corporate governance standards and transparent reporting of such incidents to maintain market integrity.