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Auditor Grant Thornton unearths another fraudulent transaction of DHFL worth Rs 1424 crore

Private auditor Grant Thornton has reported another fraudulent transaction of Rs 1424 crore in Dewan Housing Finance Corporation on Friday.

Currently, the company is going through a corporate debt resolution process in the National Company Law Tribunal.

Moreover, an administrator is running the company, post the IL&FS crisis in 2018, excavating massive fraud.

Further, the auditors found Rs 15,000 crore hole in its books.

However, the company’s administrators appointed Grant Thornton as the transaction auditor to conduct investigation into the affairs of the company.

Meanwhile, the RBI has cleared the Piramal group’s acquisition of DHFL.

Over 55,000 retail and institutional investors hold Rs 5,375 crore worth of fixed deposits in the finance company.

The estimated amount of fraud includes monetary impact of the concerned transactions at Rs 1,424.32 crore.

In fact, this comprises Rs 29.94 crore towards notional loss of interest due to charging lower rate of interest.

The concerned transactions took place during 2017-18 and 2018-19 respectively.

Recently, Grant Thornton unearthed another fraudulent transaction amounting to Rs 6,182 crore in DHFL.

The monetary impact of the above transaction covered under the application amounts to Rs 5,381.90 crore towards outstanding principal.

It further includes Rs 589.36 crore towards accrued interest and Rs 210.85 crore towards notional loss of interest.

At present, the secured debt of the company stands at Rs 74,054 crore. Moving forward, the company has an unsecured debt of Rs 9,818 crore.

Majority of the banks have declared DHFL accounts as non-performing assets.

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