NEW DELHI: Alerted by a whistle-blower, the income tax department has started investigating the accounts of crisis-ridden Dewan Housing Finance Limited (DHFL) and its promoters in an alleged case of unaccounted transaction of money. According to a highly placed source in the income tax department, the investigation started following a series of complaints from people.
“There were many complaints we received against the company, and some of them were serious in nature. After getting the details, the department started its investigation. Currently, there are 10 accounts related to the company and the promoters which are under the scanner of the tax officials,” the source added.
Some of the accounts were also related to Wadhawan Global Capital (WGC), the parent company of Dewan Housing Finance Limited (DHFL).
“Initial probe has shown that there was some bogus transaction in realty companies. We are looking at the finer details of the transaction,” the official added.
The officials added that they were going to issue notices in this regard soon. DHFL is in the eye of a storm after a report that the company, through layers of shell companies, allegedly siphoned off Rs 31,000 crore out of the total bank loans of Rs 97,000 crore.
The allegation is that DHFL and its primary promoters had siphoned off the public money through secured loans and advances to shell companies.
The media reports claimed that the losers in the process would mainly be public sector banks such as SBI and Bank of Baroda, with an exposure of over Rs 11,000 crore and Rs 4,000 crore, respectively. Foreign banks and DHFL shareholders will also lose out, it said.
After the matter was reported, and considering what was at stake, the Ministry of Corporate Affairs started looking into these allegations and MCA’s Mumbai regional director is likely to submit a report to the government this week on the said allegations.
Meanwhile, DHFL and its promoters have termed the report as mischievous with a mala fide intent. DHFL said it had met all its obligations to its lenders by paying them back over Rs 17,000 crore in the last three months.