Updated December 20th, 2023 at 12:36 IST

No respite for Religare shares despite court orders removal of ‘fraud’ tag

The court set aside the declaration of lenders’ exposure to Religare Finvest account as a fraud exposure.

Reported by: Business Desk
Edited by: Abhishek Vasudev
Religare seeks probe into past allegations | Image:Religare
Advertisement

Shares of Religare Enterprises fell nearly 1 per cent to hit an intraday low of Rs 219.65 on the BSE even as the Delhi High Court on Tuesday ruled in favour of their financial investment arm.

The court set aside the declaration of lenders’ exposure to Religare Finvest account as a fraud exposure. Religare Finvest (RFL) is a wholly owned subsidiary of Religare Enterprises.

Advertisement

Rashmi Saluja, Executive Chairperson, REL & CMD RFL said, “The decision by the Court is evidence of our resolve towards a full-scale revival of the business and establishing Religare Group as a diversified financial services conglomerate.”

RFL had filed a writ petition before the Delhi High Court with respect to the declaration of RFL’s account as ‘fraud’ exposure by the lead Bank.

Advertisement

In March this year, RFL completed a One-Time Settlement (OTS) of over Rs 9,000 crore with 17 lenders through organic collections. The company is  awaiting lifting of the RBI Corrective Action Plan, implemented in January 2018, the company said in a statement.

The Central Fraud Registry was constituted under the Reserve Bank of India (Frauds Classification and Reporting by Commercial Banks and Select FIs) Directions, 2016.

Advertisement

Published December 20th, 2023 at 12:36 IST