Now Reading: Indiabulls says EOW report shows no wrongdoing in loan case
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Indiabulls says EOW report shows no wrongdoing in loan case
Indiabulls has said the Economic Offences Wing's status report in a major loan fraud case does not mention any wrongdoing by the company or its officials. The firm argued the report submitted to a Mumbai court should lead to the case being closed. The EOW probe concerns alleged irregularities in loans extended by Indiabulls entities to related parties.
The company maintains it has cooperated fully with the investigation and that all transactions were conducted according to banking norms. Indiabulls expects the court to consider the EOW's findings and dismiss the complaint. A hearing on the matter is expected shortly.
Indian Opinion Analysis
The Economic Offences Wing is the Mumbai Police's specialised financial crimes unit, its status reports are submitted to courts and can form the basis for further investigation or closure. In loan fraud cases, a clean chit from EOW, if finalised, would remove the most serious criminal liability for Indiabulls, but does not automatically affect civil suits by lenders or regulatory actions by the RBI. The case dates to 2019, when the EOW began probing allegations of cheating and criminal conspiracy against Indiabulls entities and some of its former directors. Since then, the company has faced multiple legal challenges while also seeking to resolve its legacy loan book. The next material date to watch will be the court's order on whether to accept the EOW report or order further inquiry.
Source: livemint.com
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