Share of Indiabulls Housing slumped over 7 per cent after BJP Leader Subramanian Swamy sent a letter to PM Modi, accusing the company of Rs 1 lakh crore fraud.
Indiabulls Housing acknowledged Swamy’s letter being circulating in the social media that alleged misappropriation of funds from National Housing Bank (NHB),
as per ET reports.
“Indiabulls Housing, in its history, has never taken any loan or refinancing facility from NHB,” the company insisted. The total loan book of Indiabulls Housing is nearly Rs 87,000 crore.
The company has denied any corruption but it could not stop it from falling 7.47 per cent in early trade
In a tweet, Swami said: “It is necessary now to pierce the corporate veil, behind which the India Bull is situated. All leads on the “Bull” point to Ali Bibi alias TDK, and her 40 chors. But govt should see that unsuspecting investors are not unduly harmed.”
It is necessary now to pierce the corporate veil, behind which the India Bull is situated. All leads on the “Bull” point to Ali Bibi alias TDK, and her 40 chors. But govt should see that unsuspecting investors are not unduly harmed.— Subramanian Swamy (@Swamy39) July 29, 2019
As per the letter, Swami accused Indiabulls Housing and its associates, is heading for a financial collapse, resulting in large corruption issues in the real estate, banking , stock markets and loss of more than Rs 1 lakh crore of public and of National Housing Finance.
The letter alleged that Indiabulls created more than 100 shell firms and took loans from NHB. It then re-alloted or siphoned it off to many real estate firms in Maharashtra, Delhi, Gurugram, Bengaluru and Chennai in the range of Rs 30 crore to Rs 1,000 crore.
The letter suggested that the company accepted these amounts back as investments from the friendly real estate firms.
By: Abhinav Ranjan, Editorial Desk, DKODING Media