Shares of Dewan Housing Finance Corporation Ltd (DHFL) surged 20 percent in the opening trade after independent chartered accountancy firm TP Ostwal gave a clean chit to the company in connection with Cobrapost's allegations of financial fraud.
DHFL shares rose as much as 20 percent to Rs 160.80 per share intraday on BSE. At 9:20 AM, the stock traded 17.80 percent higher at Rs 157.85 per share.
Dewan Housing Finance Corp Ltd (DHFL) has not promoted any of the 26 shell companies, which were alleged to have siphoned off about Rs 35,000 crore of the company by investigative news portal Cobrapost, an independent review report released by DHFL said. "There is no evidence of DHFL forming shell companies to divert funds, promoters hiding shareholding in any companies and insider trading", said a report by chartered accountant firm TP Ostwal & Associates.
The detailed report comes following a January 30 allegation by Cobrapost that accused DHFL promoters of committing financial fraud by creating shell companies.
As many as 32 Indian and foreign banks lent Rs 97,000 crore to DHFL Group companies with many borrower companies having the same addresses, directors and auditors, alleged the news portal earlier this year.