Indiabulls stocks crash over Swamy charges
Indiabulls Real Estate fell 4.72 per cent and Indiabulls Venture was down 4.68 per cent.
Mumbai: Shares of Indiabulls Group companies fell sharply on Monday after a letter written to the Prime Minister by MP and BJP leader Subramanian Swamy alleged embezzlement of more than Rs 1 lakh crore from the National Housing Bank (NHB) by the group.
The shares of the group’s flagship company, Indiabulls Housing Finance, fell 10.44 per cent to close at Rs 559 on the BSE and were down 12.29 per cent in intra-day trade at Rs 547.40.
Indiabulls Real Estate fell 4.72 per cent and Indiabulls Venture was down 4.68 per cent.
Denying charges made by Swamy in the letter dated June 28, Indiabulls Housing Finance clarified to the stock exchanges that “Loans outstanding as on date from NHB to India-bulls Housing is zero.”
Further the company said, “Indiabulls Housing, in its history, has never taken any loan or refinancing facility from NHB.”
“The total loan book of Indiabulls Housing is approximately Rs 87,000 crore,” Indiabulls Housing Finance said.
Further the company, citing an NHB website link, said, “The details of companies that are availing (of) refinance facilities from NHB is a matter of record at NHB.”
Swamy, in his letter, urged Prime Minister Narendra Modi to institute a Special Investigation Team of the Central Bureau of Investigation (CBI), Enforcement Direct-orate (ED), Serious Frauds Investigation Office (SFIO) and Income Tax
officials to probe into the 14-year-long money laundering of the group by siphoning off the funds of the National Housing Bank.
"As per credible information that I have, and after perusal of many available documents, I wish to inform you that India Bulls Housing Finance Limited and its associates, which many Congress leaders have patronised, is heading now for a financial collapse and bankruptcy, resulting large corruption issues in real estate sector, banking, stock markets and loss of more than Rs. One lakh crores of funds of public and of NHB", Swamy said in his letter.
Swamy accused many Congress leaders of helping money laundering of more than Rs 1 lakh crore by Indiabulls Group and demanded prevention of escape of the group’s promoters, including Sameer Gehlaut.
Swamy alleged, “India Bulls Housing Finance and its related forms formed more than 100s of shell real estate firms to take loans from NHB and re-allot or siphon it off to many real estate firms in Maharashtra, Delhi, Gurugram, Bangalore and Chennai in the range of Rs 30 crore to Rs 1,000 crore.”