Urging for Justice for the DHFL Victims: An Appeal to the Non-Godi Media

 Urging for Justice for the DHFL Victims: An Appeal to the Non-Godi Media



Posted on 29/09/2023 (GMT 08:50 hrs)

Compiled by Debaprasad Bandyopadhyay and Akhar Bandyopadhyay

We, the Dewan Housing Finance Corporation Limited’s (DHFL: an AAA-rated NBFC) FD and NCD Holders, are not at all surprised that all the Godi Media are reluctant to report⤡ the biggest financial scam in post-Independent India (before Hindenburg Report). However, we are surprised that very few non-Godi media have covered it as a “marginal” or unimportant matter.

Therefore, let us introduce to you the brief history of DHFL scam, for which the FD and NCD holders of the DHFL are suffering for the last three and a half years. We do not know the cause behind the non-coverage of the scam by the most of the Non-Godi Media.

I. ALL ABOUT THE DHFL SCAM

i.            A White Paper On The Dewan Housing Finance Corporation Ltd. (DHFL) VIEW HERE ⤡ 

ii.        The Chronology Of The DHFL Scam VIEW HERE ⤡

II. BACKGROUND OF THE DHFL SCAM: VICTIMIZATION OF FD AND NCD-HOLDERS

In a nutshell, the beginning of the narrative of the DHFL Scam is as follows: 

In October 2019, all payments to the DHFL FD holders were stopped after Mr. Ambani, through his company Reliance Nippon Life Insurance, approached the Hon’ble Bombay High Court, which gave its verdict on 10/10/2019. Soon after the company was brought under the Insolvency and Bankruptcy Company (IBC, 2016 amended 35 times after the introduction of such code) in November-December 2019, the board of directors were removed and the Committee of Creditors (CoC) was constituted. A “simulated” bidding war started between 20+ corporate groups including Adani Group (who was more of a dummy/proxy bidder), Oaktree Capitals and Piramal Capital and Housing Finance Limited. All other bidders left the bidding one by one to pave the way for Piramal’s pre-determined acquisition.

NCLT’s verdict (19.05.2021) to reconsider the full repayment proposal of the erstwhile directors of DHFL was left unheard, and Piramal with the CoC got the order revoked within days at the NCLAT on 25.05.2021 (DOWNLOAD NCLAT-order-1) without answering the NCLT’s pertinent questions.

NCLT First Order-on-DHFL-coc-DOWNLOAD

Moreover, after the said NCLT’s first order in May 2021, the DHFL lenders stated the following:

“Lenders said the NCLT order may set a bad precedent, with more promoters moving the court to consider their offer.

“That if the impugned orders were allowed to operate, it would be extremely prejudicial as it creates a new process, which is contrary to the express provisions of the Code and, if allowed, the CIRP will be never ending where parties will be permitted to keep making offers without regard to sanctity of the process or timelines, including after CoC has exercised its commercial wisdom and approved a plan, which has been submitted by an eligible resolution applicant in compliance with the Code,” DHFL’s lenders said in their appeal.”

SOURCE: Appeals Court Stays Order on Wadhawan VIEW HERE  (As reported on 26th May, 2021 ©The Mint)

The lenders said that the verdict of the NCLT would set a “bad precedent” (if their first order was being followed), since the DHFL case was the first case to go under the experimental, ill-conceived IBC (2016). “Bad precedent”Such statement made by lenders is not only irrational or illogical, it is also ridiculously illogicalBe it the first or last precedent, we must call spade a spade! An illegal resolution process does not become legal solely in order to legitimize or rationalize  the newly-introduced IBC! Why is the RBI-appointed CoC deliberately providing help to the present politico-legal administration and their engineered codes/ laws/ policies by the help of their wis(h)dom (The CoC can do no wrong! Is the  ‘Wis-h-dom’ of the CoC presupposed?)?  

Whether the sheer ignoring of the NCLT May 2021 order by the Piramal-CoC can be admitted as a contempt of court or not requires judicial attention. Mr. Piramal thus presumably violated Article 215 of the Indian Constitution. NCLT was forced to approve the resolution plan (which is contrary to their first order) on 07.06.2021. Piramal “acquired” the DHFL in September 2021 on the basis of the NCLT, the lowest quasi-judicial body’s second verdict.

The NCLAT verdict (27.01.2022) that designated the CoC resolution process to be “contrary to law”, “void” and as containing “material irregularities” was stayed by the Hon Supreme Court on 11.04.2022 after Piramal approached it on 01.03.2022 without first approaching the High Court.

DOWNLOAD NCLAT-order-27-01-2022

Mr. Piramal, as an influential person, is an obsessive and habitual blanket stay order-seeker. Earlier, in a case of eco-terrorism, he did the same thing and was rejected by the National Green Tribunal (NGT). cf. Ajay Piramal: How Many Times Are You Seeking “Blanket” Stay Orders? VIEW HERE ⤡ 

In the occasion of both the stay orders, it can be seen that Piramal is more equal than others⤡.

For your convenience, we are forwarding the following links to make out the background of DHFL victim’s miseries.  

III. REGARDING RBI-APPOINTED CoC’S (MIS-)CONDUCTS

   i.        Demanding Expulsion Of Mr. Shaktikanta Das, Governor, The Reserve Bank Of India: A Letter To The President Of India VIEW HERE ⤡

  ii.            Smelling The Rat In The DHFL-CoC Resolution Process: A Letter To The President Of India VIEW HERE⤡ 

iii.            Please Compose An Obituary For The RBI-Appointed Committee Of Creditors (CoC) For The DHFL VIEW HERE⤡ 

iv.            IBC Section 66 Overlooked By The DHFL-CoC: A Big Conspiracy? VIEW HERE⤡

  v.            You’re All Caught Up: RBI-Appointed CoC For DHFL VIEW HERE⤡

vi.            An Open Letter To Two Public Servants: Mr. R Subramaniakumar And Mrs. Charu Sandeep Desai VIEW HERE⤡ 

vii.            Seeking Intervention On The (Mis?)Conducts Of The RBI-Appointed DHFL-CoC Resolution Process: Letters To The CVC, CBI, ED, NIA VIEW HERE⤡  

It is to be noted that a Resolution Professional comes within the meaning of ‘Public Servant’ under Section 2(c) of the Prevention of Corruption Act, 1988, and Section 233 of IBC does not protect where he has been apprehended red-handed with the bribe amount – Sanjay Kumar Agarwal Vs. Central Bureau of Investigation, Anti-Corruption Bureau, Dhanbad – Jharkhand High Court.  

It is also to be duly noted that the old promoters of the DHFL, Mr. Kapil and Dheeraj Wadhawan, were not allowed to participate in the RBI-appointed CoC’s resolution process following the (controversial and ineligible) IBC U/S 29A ⤡, even though the Hon’ble NCLAT, New Delhi declared: “Suspended Director, who was representing the Corporate Debtor and has submitted the Settlement Proposal is entitled to participate in deliberation and negotiation undertaken by the CoC.” (in Sanjeev Mahajan Vs. Indian Bank (Erstwhile Allahabad Bank) & Anr.) 

THE GREAT NON-WILFUL ABSENTEES IN THE RBI-APPOINTED CoC FOR DHFL 

We are reminded of the known fact that Bankruptcy will not void personal guarantees: Hon’ble Supreme Court VIEW HERE  (As reported on May 22, 2021 ©The Times of India). Let us look at the rules and regulations of IBC (2016) for such deliberate avoidance of the Wadhawan brothers (“former” promoters of the DHFL) by the CoC to hand the DHFL over to Mr. Ajay Piramal, a hostile bidder and an alleged insider trader ⤡, which appears to be a case of adverse possession or squatter’s right. It seems that Mr. Piramal is allegedly violating the Tort Law.

The RBI appointed CoC administrator and the representative of the FD-holders are good for nothing, but they had swallowed DHFL victims’ money to continue expensive Resolution process. If they are to be sued by the DHFL victims, they would fight against the victims by utilizing their money. As public servants, what they have done is more than criminal activities. They must be publicly condemned. 

Therefore, DHFL victims are humbly requesting for returning the fees from the Administrator and Representatives of the RBI-appointed CoC for DHFL.⤡

IV. ALL ABOUT AJAY PIRAMAL, the “winner” of the DHFL Bidding:

1.  Mr. Piramal is an alleged insider trader (2016)


2. He seems to be an eco-terrorist (for polluting Digwal, Telangana in 2019) and also who sought “blanket stay order” at the National Green Tribunal, which was rejected. In the case of the DHFL also, he wanted such a similar stay order on the “controversial” NCLAT second verdict (27/01/2022).

2.  He was involved in Flashnet Scam, 2018 (though Mr. Piramal was ready to defame The Wire, who first exposed the scam, for reporting the same, but till date: no such step has been taken by him)

3.  He is possibly involved in contempt of court during the DHFL resolution process by ignoring NCLT’s first verdict (19/05/2021) and skipping the points raised by the NCLAT second order (27/01/2022).

A.     Who Is Ajay Piramal? VIEW HERE ⤡

B.     An Open Letter To The Honourable Queen Of The United Kingdom Regarding The Honorary CBE Awarded To Mr. Ajay Piramal VIEW HERE ⤡

C.      The Psychoanalysis Of A Crony Billionaire: Ajay Piramal  VIEW HERE ⤡

D.     Revealing The Controversies About The Piramal Group: Additions On Wikipedia VIEW HERE ⤡

E.     Why Is Mr. Ajay Piramal Hiding Himself From The Socialization Process? VIEW HERE 

F.       Greetings To Mr. Ajay Piramal: The “Successful Owner” Of The DHFL Aka PCHFL aka Piramal Finance VIEW HERE ⤡

G.     Dear Mr. Ajay Piramal, Wanna Become Wilful Defaulters Following The Path Of 50+ Super-Rich Business Barons VIEW HERE 

H.     If A[M]Dani Scams, Can Ambani-Piramal Be Far Behind? VIEW HERE 

I.        Some Open, Controversial Questions To Mr. Ajay Piramal Regarding The DHFL Acquisition VIEW HERE ⤡

J. The Old Sinner? The Deeds Of A Paramavaisnava, Ajay Piramal VIEW HERE  

K. Legality Of Ajay Piramal’s Actions: A Brief Resume VIEW HERE 

L. Piramal’s “(Il)Legal” Operations Not Found On Wiki VIEW HERE⤡

M. The Chosen Ones In Indian Political Economy: A Case Study Of The DHFL Scam VIEW HERE⤡

N. Are You Pāpayoni Or The Nimitta Kāraṇa For Creating Carceral Society? A Letter To Mr. Ajay Piramal And Mrs. Swati Piramal VIEW HERE

O. Ajay Piramal Hypocritically Smashing The Gauḍiya Vaiṣṇava Dharma (A Letter To Śrīmat Rādhānātha Svāmī) VIEW HERE

P. Exposing Piramal Realty: Krishnaraj Rao VIEW HERE⤡

Q. An Open Letter to the Honourable King of the United Kingdom For Retracting Mr. Ajay Piramal’s CBE Award VIEW HERE⤡

V.  ALL ABOUT THE WADHAWAN BROTHERS: “OLD” PROMOTERS OF DHFL

The “old” (?!) promoters of the DHFL, viz., the Wadhawan Brothers, were removed from their company roles when DHFL was put under the Corporate Insolvency Resolution Process (CIRP) at the end of 2019. However, they had repeatedly stated their offer for full repayment of all the creditors, which were ignored by the RBI-appointed CoC. The Wadhawans were not also allowed to participate in the decision-making process of the DHFL resolution. 

The CBI, on October-November, 2022, came up with a report that stated that the Wadhawans engaged in creating “shell” or “dummy”/”proxy” companies to siphon off astronomical amounts of money through fraudulent transactions by creating fake bank accounts. 

It has also been recently reported by the Godi Media that the Wadhawans, who are currently in penal confinement, are living a “lavish” lifestyle under the pretext of seeking medical treatment. 

It is also to be noted that Maharashtra is currently under the governance of the BJP coalition with a faction of the Shiv Sena and NCP. It is also to be remembered that the faction of Shiv Sena and Nationalist Congress Party (NCP) members were bought by spending huge amount of money (horse-trading) and blackmailing. How can Wadhawans live such a luxurious life when the BJP coalition is in de facto power in the said state? Could they have done the same without political aid? 

Information regarding them could be found in the following two articles: 

i. Mousetrapped: An Open Letter to the Wadhawan Brothers VIEW HERE  

ii. THE GREAT NON-WILFUL ABSENTEES IN THE RBI-APPOINTED CoC FOR DHFL VIEW HERE  

It is very difficult to understand the situation of the DHFL occupation as both Wadhawan Brothers and Mr. Piramal are favoured by the ruling party of India, although in different ways. It may be conjectured that it is a game of money: terror-funding/political donation/political charity.  

VI. WHO IS RESPONSIBLE FOR THE DECEPTIVE AUDITING OF THE DHFL?

i.      What is the role of the auditors in the case of the DHFL scam? Did the DHFL lack any diligent auditing? Who is to be held responsible for such collapse of a profitable ongoing concern?

ii.      What is the role of the Rating Agencies in the case of the DHFL scam, an AAA-rated company?

Were the watchdogs (they cannot be bulldogs!) of financial affairs taking sedatives or sleeping pills during the so-called “fraudulent transactions” through the alleged “Bandra Books” (yet to be evidentially proved in the court of law) as well as the relation of the DHFL ex-promoters to Yes Bank promoter Mr. Rana Kapoor? 

i. Reliance On The Sanctity Of Audited Balance Sheet And Safeguarding The Country’s Financial Ecosystem: A Letter To The President, ICAI VIEW HERE ⤡ 

iiWho Is Responsible For The Deceptive Auditing Of The DHFL? An RTI To The CAG Of India VIEW HERE ⤡ 

VII. ALL ABOUT THE BRAND AMBASSADOR OF THE DHFL: MR. SHAH RUKH KHAN

Some of the victims of the DHFL Scam are demanding the Brand Ambassador’s positive response on this matter as he has deceived the consumers by promoting the DHFL, under the Consumer Protection Act, 2019, for “False and Misleading Advertisements” by violating the rights of the consumers. Here, the Brand Ambassador of the DHFL did not follow the path of Mr. Mithun Chakraborty, who returned 1.15 crores taken from Saradha ponzi scheme to the Enforcement Directorate. For such deceiving advertisements, the consumers cannot come under the definition of caveat emptor (Let the buyer beware!).

VIII. ROLE OF THE CURRENT RULING PARTY OF INDIA

Mr. Ajay Piramal, the so-called “winner” of the bidding war, has always remained in the good book of the current ruling party of India, viz., the Bharatiya Janata Party (BJP). This was clear even much before the DHFL scam, when Mr. Piramal’s collusion with the ruling party became evident through the fact of Flashnet Scam involving BJP Union Minister Mr. Piyush Goyal. 

Furthermore, on 29.01.2019, the Cobrapost, in its findings on the DHFL scam, reported that the BJP, the ruling party of India, was involved in this scam through terror-funding/political donation/political charity. The nexus/collusion amidst DHFL, RKW Developers (Dheeraj Realty), the BJP and the Dawood Ibrahim-Iqbal Mirchi Gang was alleged through this report.

When concerned authority of the RTI gave some #DHFL_Victims a negative (ambiguous?) response, the victims had requested the President, BJP and the Sarsanghchalak of the RSS (a non-registered Hindu extremist group) to file a defamation case against the media houses, who had spread such “rumours” against a party, which is not a public authority. 

However, till date no such defamation case has been filed either by the BJP or by the RSS against those newspapers. 

It is also to be mentioned that on 25.06.2022, the Indian National Congress alleged the BJP of getting political donations worth 27.5 crores (or more, as political parties are not “public authorities”, it is very difficult to know the exact figure of donations made by unknown sources in the electoral bonds.) from the (ex-?) promoters of the DHFL.

सुप्रिया श्रीनेत ने मोदी से लिया बड़ा पंगा , Supriya Shrinate Exposed Modi on DHFL Banking Fraud VIEW HERE 

DHFL Bank घोटाले का मोदी-BJP Connection Exposed, BJP Received Over Rs 27.5 Crore As Donations, Modi VIEW HERE ⤡ 

Ambiguously enough, in the case of PM CARES fund, it is simultaneously governmental as well as non-governmental. None can use the RTI for any inquiry about these transparently opaque cases from the scam-hit DHFL. 

RTI Deceased: The State Of Democratic Unfreedom View Here ⤡

IX. Piramal’s Defamation against Some Aggravated DHFL Victims, Who Are Conducting Web-Based Non-Violent Civil Disobedience Movement

In the beginning of this year, Piramal’s legal Farm, DSK Legal, filed a defamation case against some of the DHFL victims, who were engaging themselves in the web-based non-violent civil disobedience movement against the crony oligarchy. The case initially reported a cost of 100 Cr to be paid by these innocent victims to compensate for the supposed “reputational loss” suffered by Mr. Piramal!

Soon enough, the 100 cr notion was removed from the consequent e-mailed appeals by one of the “unknown defendants” (?). The initial defamation also talked of geo-blocking of certain posts/tweets posted by those victims, which was also removed subsequently since geo-blocking is impossible in the cyber-space.

Recently in September 2023, the defamation petition by Piramal’s legal team was updated to a contempt petition, saying that one of those DHFL victims, Dr. Debaprasad Bandyopadhyay (designated as “Unknown Defendant 6”), has deliberately ignored the Bombay High Court’s orders to stop posting defamatory content on the social media platforms⤡.

i.            Loud Voices Made The Deaf Hear: Piramal CHFL’s Legal Action Against The Cyber-Dissenters VIEW HERE⤡

ii.            Pleasure Of “The Trial”: A Letter To PCHFL’s Legal Advocates VIEW HERE⤡

iii.            Attack And Counter-Attack: A Letter To PCHFL’s Legal Team VIEW HERE⤡

iv.            Dear Mr. Piramal And DSK Legal Team, I Wanna Be A Defamator VIEW HERE⤡

v.            Who Is To Be Defamed: Piramal CHFL Or The DHFL Victims? VIEW HERE⤡

vi.            OBMA’s Web-Based Civil Disobedience Movement: An Open Letter To Mr. Ajay Piramal VIEW HERE⤡

 vii.            Āhlāda Or Jouissance Due To Legal Intimidation: Follow-Up Letter To The PCHFL’s Legal Team VIEW HERE⤡

viii.            Requesting For Providing T.A. And Good Hospitality For Attending Court Proceedings: A Letter To Piramal’s Legal Team VIEW HERE⤡

ix.            Tweets On DHFL Scam: Invisibly Visible?! VIEW HERE⤡

X. CONCLUSIVE(?) REMARKS FROM SISYPHUS

From October 2019, DHFL victims are suffering from psychosomatic disorders for the reason of such scam, where they comprehend the real meaning of the proverb: Justice Delayed, Justice Denied. Some of them are having suicidal tendencies or they are appealing for legalizing active euthanasia in India by compromising their “Right to Life” (Article 21 of the Indian Constitution). 

P.S.: It is to be noted that this is the seventh as well as latest online petition of the DHFL Victims:

Praying for taking Suo Moto Cognizance for the DHFL Scam Victims VIEW HERE ⤡ @change.org

Other six (knocking the doors of the Gatekeepers cf. Kafka’s The Trial) are listed below:  

i.            An Urgent Appeal To The President Of India: Fixed Deposit Holders Of DHFL VIEW HERE⤡

ii.            Justice For The DHFL Fixed Deposit Holders VIEW HERE⤡

iii.            Releasing of all Fixed Deposits (FDs) stuck at DHFL on humanitarian grounds VIEW HERE

iv.             Respected President of India, Think Twice Before Annihilating DHFL FD & NCD-Holders VIEW HERE

v.            An Appeal for Suo Moto Cognizance for the Victims of the DHFL Scam VIEW HERE⤡

vi.            Help Protect DHFL FD & NCD Holders : An Avaaz Petition to the CJI, India VIEW HERE⤡

Although it is a mere truism that “International law is the  vanishing point of jurisprudence” , yet if sovereign government cuts a sorry figure to implement all the procedures to uphold international business-related rights of its citizens, a financially abused person would be compelled to take his/her/their recourses to the vanishing point, i.e.,  parallel international “law” (?) without hampering the sovereignty of the imagined nation state. In doing so, the state must be compelled to fulfil its international human rights obligations. The DHFL Victims are financially abused due to the violation of their business related human rights as declared in the United Nations Guiding Principles on Business and Human Rights ⤡ (in this context, “Access to remedy for victims of business-related abuses”).

Dear Non-Godi Media, the new fifth pillar of democracy within the ambit of crony plutocracy and savage cannibalistic capitalism, we are earnestly requesting you to take necessary actions regarding this matter after due checking of facts.

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