Mishtann Foods (MFL) experienced a significant drop in its share price after receiving a notice from the Securities and Exchange Board of India (Sebi) regarding allegations of fund misappropriation.

The company has expressed its disagreement with the interim order and is required to provide an explanation for the claims made against it.

The interim order demands the return of approximately Rs 49.82 crore that was reportedly misused or diverted through group entities, as well as Rs 47.10 crore allegedly misappropriated to promoters, directors, and their relatives through fictitious transactions.

MFL's legal team is actively working to address Sebi's queries and intends to take appropriate actions in response to the allegations.