HYDERABAD: Sigachi Industries on Wednesday clarified that the accident at its Pashamailaram factory on Hyderabad’s outskirts, that is being pegged as the deadliest in India’s pharma sector, was not caused by a reactor blast as was being initially surmised.

The company, however, did not offer the reason that actually triggered the explosion.The company also confirmed the accident resulted in the loss of 40 employees and left over 33 injured.

Sigachi also announced an ex-gratia compensation of Rs 1 crore to the families of the deceased, while those injured would receive full medical and rehabilitation“As we await the results of the investigation, we would like to clarify that the accident was not caused by a reactor explosion at the plant…We will continue to send updates as we receive information from the investigations,” Sigachi said in a regulatory filing on Wednesday.“Since the time of the accident, we have been coordinating the emergency response, family support, and extending cooperation with the investigation and compliance efforts,” it said."Our plant operations will remain temporarily suspended for approximately 90 days," the company added.The latest communique comes from the company after it informed the bourses on Monday evening, hours after the accident, that the fire incident had occurred “in the vicinity” of its Hyderabad plant.