InvestorQ : Is it true that Dewan Housing promoters have siphoned a large sum of Rs.12,700 crore from the company? How was it done?
Khushi Patel made post

Is it true that Dewan Housing promoters have siphoned a large sum of Rs.12,700 crore from the company? How was it done?

Answer
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Arya Nanda answered.
8 months ago


This is the latest report by the Enforcement Directorate (ED), which has found based on investigations that the promoter Mr. Wadhawan had siphoned close to Rs.12,700 crore from the company into his personal account. This was done via fictitious names and the audit trail has pointed out that the final beneficiary of this fraud was Mr. Wadhawan. This is the fraud that has come to light and ED has hinted that the actual magnitude of the fraud could be much bigger.

According to the ED report, the fraud was committed by creating nearly 100,000 fictitious borrowers and then giving them dummy loans which were eventually routed back to the promoter after a number of hops. This was a classic case of round tripping of funds and they are also doing a detailed investigation as to whether any money was flushed abroad. The fraud could add a new dimension to the resolution of the DHFL under NCLT.