The government has asked Patanjali Ayurved Ltd., a traditional medicine company co-founded by celebrity yoga guru Baba Ramdev, to explain some transactions deemed suspicious, according to people familiar with the matter.
The corporate affairs ministry sent a notice to the company after the economic intelligence wing found transactions it labeled as abnormal and dubious, the people said, asking not to be identified citing rules.
They didn’t, however, disclose the amounts involved in the transactions, citing the early stage of the probe. The company will have about two months to respond to the notice, the people said.
The ministry will also look into any corporate governance breaches and fund diversion, they said.
The ministry didn’t immediately respond to a request for further information. A spokesperson for Patanjali Ayurved also didn’t reply to a request for comment.