DHFL case: Auditor Grant Thornton unearths another fraudulent transaction of Rs 6,182 crore

Private auditor Grant Thornton has reported another fraudulent transaction of Rs 6,182 crore in Dewan Housing Finance Corporation.
Dewan Housing Finance Corporation.
Dewan Housing Finance Corporation.

NEW DELHI: Private auditor Grant Thornton has reported another fraudulent transaction of Rs 6,182 crore in Dewan Housing Finance Corporation (DHFL).

According to a regulatory filing made by DHFL, the administrator of the company received an initial report from the professional agency, appointed as the transaction auditor, indicating that there are certain transactions which are “undervalued, fraudulent and preferential in nature”. DHFL has been under an RBI administrator since 2019.

“As per the transaction auditor report shared with the administrator, the monetary impact of the above transactions covered under the application amounts to Rs 5,381.90 crore towards outstanding principal, Rs 589.36 crore towards accrued interest and Rs 210.85 crore towards notional loss of interest on account of charging lower rate of interest,” said the company on the estimated impact of the transactions.

The transactions happened over a period of time. Based on the report, the DHFL management has filed an application with NCLT, Mumbai, against 33, including Kapil Wadhawan, Dheeraj Wadhawan, Creatoz Builders, Ikshudip Fincap, Rite Developers and other entities. 

DHFL is currently being run under an administrator appointed under the Insolvency and Bankruptcy Code after frauds impacting the firm came to light. DHFL was sent to the NCLT in November 2019 after it defaulted on debt payments and auditors found a Rs 15,000-crore hole in its books. Its promoters are currently in jail facing money-laundering charges.

Meanwhile, the RBI has cleared  DHFL’s acquisition by the Piramal group. More than 55,000 retail and institutional investors hold Rs 5,375 crore worth of fixed deposits in the finance company. 

Related Stories

No stories found.
The New Indian Express
www.newindianexpress.com