Indiabulls Housing Finance Refutes Swamy’s Embezzlement Charge, Calls It ‘Part Of Larger Conspiracy’
Indiabulls Housing Finance Ltd. on Monday said the allegations of money laundering and embezzlement by Bharatiya Janata Party leader Subramanian Swamy is “part of a larger conspiracy taking place over the last few months”.
“We are a public financing institution, everything is transparent, everything is in accordance with the regulatory regime. There is not even one rupee of siphoning or embezzlement or anything. I can say that with full conviction,” Ajit Kumar Mittal, whole time executive director at Indiabulls Housing Finance, told BloombergQuint over the phone. Mittal also refuted claims of loans given by the company to its promoters or promoter entities.
Swamy, in a letter to Prime Minister Narendra Modi on Sunday, accused Indiabulls Housing Finance of money laundering and embezzlement of more than Rs 1 lakh crore from National Housing Bank. He also urged Modi to take action against the company and its associates, including Congress leaders P Chidambaram, Sameer Gehlaut and BS Hooda.
Swamy said the company is “heading for a financial collapse and bankruptcy”, citing “credible information” available to him. The story and the letter were first published on news platform PGurus.
Shares of the non-bank lender slumped as much as 8 percent after the market opened on Monday.
“It is absolute rubbish, what has been said, and it gets my blood boiling when a the image of a public institution is being tarnished with these kind of frivolous, malicious and utterly stupid allegations,” Mittal said.
Indiabulls Housing Finance, in an exchange filing on Sunday evening, had said “loans outstanding as on date from NHB to Indiabulls Housing is zero”. The company, it said, has never taken any loan or refinancing facility from the National Housing Bank in its history.