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    Troubled DHFL's jailed promoter Kapil Wadhawan offers to settle all claims, loans

    Synopsis

    Kapil Wadhawan has written to the administrator appointed by the Reserve Bank of India offering his rights, title and interest in at least 10 projects in his insolvent non-bank lender that he claims are valued at Rs 43,879 crore, towards the proposed settlement.

    DHFL promoter Kapil Wadhawan offers rights in 10 projects valued over Rs 43,879 cr
    MUMBAI: Kapil Wadhawan, the jailed promoter of troubled Dewan Housing Finance Corporation Ltd (DHFL), has offered to settle all claims and loans of his now insolvent non-bank lender.

    Wadhawan has written to the administrator appointed by the Reserve Bank of India offering his rights, title and interest in at least 10 projects that he claims are valued at ₹43,879 crore, towards the settlement.

    Last year, RBI referred DHFL for bankruptcy proceedings. DHFL is facing claims of more than ₹94,900 crore from financial creditors.

    “... At the time of submission of the resolution plan, cash flow estimation reports of some of these projects were from reputed and internationally acclaimed external valuers who have collectively valued the projects at ₹43,879 crore,” Wadhawan said in the nine-page letter sent from Taloja jail on the outskirts of Mumbai, where he and brother Dheeraj are currently lodged.

    The projects include marquee ones such as the Juhu Galli project (potential revenue of about ₹32,000 crore) and Irla project (potential revenue of around ₹4,400 crore). They are key to resolving all existing issues and will enable a successful resolution, Wadhawan said in the letter addressed to R Subramaniakumar.

    The Adani group and the Piramal group were interested in developing these projects and had — after completing due diligence — signed term sheets to enter into development management agreements, he said in the letter. “... these projects are now being offered to your disposal to be monetised with the maximum value in the most appropriate manner to ensure repayment to lenders of DHFL,” it said.

    When contacted, Wadhawan’s counsel Vijay Aggarwal told ET, “My client wishes to cooperate in the resolution of the matter and wants to see that every single penny gets repaid, but the limitation is that they are in custody. Their offering, even their other properties, shows their bona fide (intention). In India, in case of default, the person gets arrested and unlocking maximum possible value of assets gets jeopardised.”

    Some of the projects cited by Wadhawan are under investigation by the ED, which is in the process of provisionally attaching them under the Prevention of Money Laundering Act (PMLA) for being ‘proceeds of crime’.

    “He (Wadhawan) might offer them but many of them are tainted properties under investigation and the agency will challenge them before the competent body,” a senior official told ET.
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    37 Comments on this Story

    devender paul singh taneja26 days ago
    If Wadhawans are offering their properties to pay off the creditors, it should be considered at least to pay the individual FD holders and NCD holders. They are not at fault if they put their hard earned money in AAA rated companies. I think government should bring in some law to protect the individual who have put their life time savings in these kind of companies.
    Ramaswami Sampath40 days ago
    Politicians bank executives and wadhaw n form 3 sides of the triangle to loot public money and shed crocodile tears
    ss40 days ago
    A suggestion to the govt and finance minister: the depositors and NCD holders are now losing patience with the recovery process. Can the govt kindly pay these affected people from the huge PMcares fund because after all care of the people who r so blatantly looted despite there being a govt who is supposed to prevent such gross loot. The Govt can then replenish the fund to the level of affected value by later chasing wadhwan. Govt should not drag or want the systems to fail and delay our recovery. After all possibly it is more worthwhile for the govt to do this than waste so much money on a toy aircraft worth 8600 crore for the PM from this fund isnt it ? If they care enough they will take this suggestion otherwise they can forget abt votes in the next round of elections from affected people and others also who r watching this maha drama.
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