Kirit Somaiya requests RBI to initiate criminal action against HDIL and PMC Bank

Published: Sep 26, 2019, 13:12 IST | ANI

HDIL (Housing Development and Infrastructure Limited) is a listed real-estate development company which had allegedly been extended large loans by the Punjab and Maharashtra Cooperative Bank (PMC)

Kirit Somaiya in a file picture
Kirit Somaiya in a file picture

New Delhi: BJP leader Kirit Somaiya on Thursday wrote a letter to the Reserve Bank of India (RBI) requesting it to initiate criminal action against the management of HDIL company and PMC Bank for allegedly looting the deposits of people.

"Out of Rs 8000 crore advances I fear more than Rs 3000 crore gone to HDIL and its group companies and Benami's. It seems after default also PMC had given hundreds of crore to HDIL. This can happen only due to milibhagat (cooperation) of the bank's senior management and HDIL owners. The relationship between the HDIL owner and the bank Chairman (former?) is well known therefore I request criminal action against the management of HDIL and PMC Bank management for the looting of 9.12 lakh depositors," the letter by Somaiya read.

HDIL (Housing Development and Infrastructure Limited) is a listed real-estate development company which had allegedly been extended large loans by the Punjab and Maharashtra Cooperative Bank (PMC).

"It is well known that HDIL default started in the first half of 2018. The company has defaulted various repayment of loans, advances, NCD. Several financial institutions, banks took note and initiated action," Somaiya's letter read.

Earlier on August 21, shares of HDIL were locked in 20 per cent lower circuit after the National Company Law Tribunal (NCLT) admitted Bank of India's insolvency plea against the realtor. The bank had approached the Mumbai bench of the NCLT against HDIL after it failed to repay dues of Rs 522 crore.

In the letter addressed to the RBI Governor, Shaktikanta Das, Somaiya also urged him to conduct a "forensic audit" of all the transaction of PMC Bank with HDIL.

"Request the RBI, Administrator must file a criminal complaint against HDIL and bank's concerned officials, a full-fledged forensic audit of the bank's transactions with HDIL be undertaken immediately," it added.

Catch up on all the latest Crime, National, International and Hatke news here. Also download the new mid-day Android and iOS apps to get latest updates

Sign up for all the latest news, top galleries and trending videos from Mid-day.com

Subscribe
Loading...

Maharashtra Assembly Elections 2019: All you need to know!

NEXT STORY
This website uses cookie or similar technologies, to enhance your browsing experience and provide personalised recommendations. By continuing to use our website, you agree to our Privacy Policy and Cookie Policy. OK