Shares of PTC India, India’s largest power trading company, were under pressure again, falling 3% on the morning of December 19, following a report that a public sector unit (PSU) was seeking to sell its stake in the scandal-hit company.

The stock was quoted at Rs 82.30 on the National Stock Exchange at 10 am, down 2.95% from the previous session. Over the past three sessions, PTC has fallen 10%.

State-owned Power Grid Corporation of India, Power Finance Corporation of India, NTPC and NHPC have decided to sell their stakes in the power trading company after allegations of corporate governance lapses surfaced, according to a Mint report.

ICICI Securities has been hired as an investment banker on the deal, the report said.

The development comes after a series of resignations of company directors. Sushama Nath, Preeti Saran, Jayant Purushottam Gokhale and Subhash S Mundra resigned as independent board members on December 5, citing corporate governance issues.

Three directors of PTC Financial Services (PFS), a subsidiary of PTC India, also resigned from the board in January, voicing the same concerns.

Power Grid, NHPC, NTPC and Power Finance Corp each hold a 4.05% stake in PTC India, BSE data showed. The stake sale is reportedly subject to the Centre’s approval as PTC India has been set up by government directive. PTC India will drop nearly 25% in 2022.