look news india
The official clarification from the company has come after the Supreme Court directed various central investigative agencies and regulatory bodies to investigate the matters related to Indiabulls Housing Finance Limited. The company (now known as Sammaan Capital) has informed the stock exchanges and regulators that all the 197 loans raised in the Public Interest Litigation (PIL) have been fully repaid and the company does not have any outstanding or non-performing loans.
Supreme Court’s instructions and Indiabulls’ official stand
The top court, while hearing a PIL, had directed agencies like Central Bureau of Investigation (CBI), Enforcement Directorate (ED), Reserve Bank of India (RBI), Income Tax Department (IT) and SEBI to investigate the case. In response, the company said in its regulatory filing that this petition is almost 7 years old (year 2019), which was filed maliciously and with the aim of damaging the company’s image. The company reiterated that it is committed to fully cooperating with all investigating agencies and that its accounts are completely transparent.
All 197 loans fully repaid: Big statement from the company
Indiabulls clearly underlined that the 197 loan accounts mentioned in the petition were all sanctioned under normal business activities. Each of these loans has been repaid in full including principal and interest long ago by the respective borrowers. None of these accounts are in NPA or doubtful status in the company’s balance sheet. According to the company, a detailed review has already been conducted by the Ministry of Corporate Affairs (MCA) and the Serious Fraud Investigation Office (SFIO), in which no evidence of any financial embezzlement or misappropriation was found.
Redesign and corporate governance as Sammaan Capital
Indiabulls Housing Finance has undergone major changes in its corporate structure and now functions entirely as ‘Samman Capital’, a board-driven and professionally managed entity. The promoter group has lost control of the company and strict standards of corporate governance have been implemented as global institutional investors have increased their stake. The company has a strong liquidity buffer and is actively operating in the retail mortgage loan segment.
Important things for stock market and investors
After the news of the court order, there were fluctuations in the company’s shares in the stock market. However, the prompt and point-wise clarification issued by the company has helped investors understand the facts of the situation. Financial analysts believe that since the old loans have been fully repaid, there will be no adverse impact on the company’s current financial position and operational stability.