DHFL: 7 Police Suspended for Giving Special Treatment to Wadhawan Brothers, say Reports
Moneylife Digital Team 30 August 2023
Maharashtra police have suspended seven personnel for giving special treatment during medical checkups to Kapil Wadhawan and Dheeraj Wadhawan, promoters of Dewan Housing Finance Ltd (DHFL). The Wadhawan brothers are currently in judicial custody and lodged at the Taloja prison in neighbouring Navi Mumbai, a report says.
 
It may be recalled that at the height of the Coronavirus pandemic lockdown, the absconder Wadhawan duo, along with their families, were caught hopping between the cool hill stations of Mahabaleshwar-Panchgani in April 2020, and the central bureau of investigation (CBI) team which rushed there subsequently arrested them. 
 
Quoting Navi Mumbai police, a report says seven police officers from Taloja jail have been suspended for taking the Wadhawan brothers out of jail under the pretext of medical treatment and providing them special treatment. 
 
India Today has published a report showing how Wadhawan brothers managed to go on several outings pretending they needed to go to the hospital for medical checkups.
 
India Today TV's cameras captured how the brothers managed to take these trips frequently. Officially approved, these fake medical trips enabled them to partake in proper meals, utilise laptops and mobile phones, and even conduct business dealings, all while under the supervision of their police escorts. The police escorts were also served snacks. 
 
"The frequency of Kapil Wadhawan's external medical appointments was remarkably high, as indicated by the jail and hospital records obtained by India Today. A comparable pattern was evident in Dheeraj Wadhawan's case as well," the report says.
 
After dilly-dallying for over two years, the IDBI Bank Ltd in March this year, finally declared the DHFL promoters and siblings -- Kapil Wadhawan and Dheeraj Wadhawan -- as 'wilful defaulters' in a Rs758 crore unpaid loans case.
 
The Union Bank of India (UBI), leader of a 17-bank consortium, including the IDBI Bank, had lodged a complaint against the DHFL, Wadhawan siblings and others who allegedly hatched a criminal conspiracy to defraud the banks of a staggering amount of around Rs 43,000 crore.
 
Based on the UBI's complaint, CBI filed its first information report (FIR) in June 2022 against the Wadhawans, DHFL and others.
 
The CBI had said that the plot by the accused Wadhawan brothers and others induced the consortium of banks, mostly public sector banks (PSBs), to release huge loans totalling Rs42,871.42 crore.
 
A significant portion of the loans was allegedly siphoned off or misappropriated by falsifying the DHFL's books of accounts, dishonestly defaulting on the repayments to the lenders, and causing a wrongful loss of Rs34,615 crore.
 
The Wadhawan siblings were first accused in the cases registered by the CBI and enforcement directorate (ED) in the infamous Yes Bank fraud along with its founder-promoter Rana Kapoor and others.
 
DHFL became a defaulter in May 2019 and the banks classified it as a non-performing asset (NPA) between October -December 2019 and then declared as 'fraud' from March 2020 onwards.
Comments
dheeraj.bakshi
9 months ago
They looted the public hard earned money, All shares holders and NCDs got duped and there are police who are helping them... All is corruption.
r_ashok41
9 months ago
Why did it take such a long time for this to happen knowing fully well that without their help dhfl could not have done what they did.Lot of loopholes in the laws and very slow.
mail.rsvp
9 months ago
Our laws are so weak. These 7 should not be suspended but sent to jail in andamans for 10 years along with their handlers to send out a strong msg. But our opposition and paid ngos will ask for Due Process of Law which will take 50 years to get a hearing
Meenal Mamdani
Replied to mail.rsvp comment 9 months ago
Our laws are weak because the parliament makes laws, judiciary merely implements them.

We should have had a thorough overhaul of the laws similar to the overhaul of finance matters. No surprise that politicians who are the biggest beneficiaries of weak laws have not taken up this matter.
And why are you blaming the Opposition? What has the 56" Chest done after promising a crackdown on personal and public corruption?
And paid NGOs? NGOs that are known world wide for their integrity have been harassed by the current govt.
You must be a 56" bhakt and therefore clueless about what has been happening in India since 2019.
rangarao.ds
Replied to Meenal Mamdani comment 9 months ago
Fully agreed. No rule of law followed by any govt at the centre or in the states.
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