The DHFL Victims’ Thanksgiving
The DHFL Victims’ Thanksgiving
The DHFL Victims’ Thanksgiving
Posted on 11th December, 2024 (GMT 17:02 hrs)
Composed and Compiled by Partyless Society⤡ & Occupy Dalal Street⤡
ABSTRACT
The article expresses gratitude from the DHFL victims to various entities that have supported their cause. It acknowledges the role of 63 Moons Technologies, Moneylife, Supriya Shrinate, and Rahul Gandhi in highlighting legal and financial irregularities in the DHFL resolution process. It also raises concerns about cronyism and political influence in the case, particularly with ties between the BJP and financial magnates. Despite awaiting a Supreme Court verdict, the article emphasizes the victims’ commitment to justice, regardless of the outcome.
I. Introduction
As the DHFL cases have been heard at the Supreme Court of India and the victims are now awaiting the coming of the “judgment”, which, according to many sources, have been indefinitely reserved without giving a “next date” in the lengthy, expensive and tiring legal processes at the Indian judiciary.
However, whatever be the “final verdict” or outcome of the judgment, whether it would be in favour of the victims or for the cronies, we are writing this post to express our sincerest gratitude to some of the organizations, institutions, platforms and individuals, who have aided the DHFL victims’ concerns and claims via their data analysis, ground-breaking expose and other associated findings in the context of the DHFL scam with its resolution process and the so-called “approved” resolution plan of Mr. Ajay Piramal.
II. DHFL Victims’ Heartfelt Gratitude to 63 Moons, Moneylife, Supriya Shrinate and Rahul Gandhi
Now, we will proceed by manifesting our “thanksgiving” to each entity one by one.
First, we are sincerely grateful to 63 Moons Technologies for their timely fights at the NCLAT and at the Supreme Court of India, bringing out critical points and provisions that tilted the legal proceedings more-or-less in favour of the DHFL victims. We especially recount their efforts in questioning how Mr. Piramal managed to buy 45k Cr worth of DHFL assets by paying only a rupee, and by ignoring the Section 66 of the IBC, which provides for the benefit of all the creditors. The 63 Moons’ argumentative efforts led to the NCLAT framing its path-breaking judgment on 27-01-2022 that declared the RBI-appointed CoC-led resolution process and Piramal’s plan to be contrary to law, materially irregular, void and so on.
63 Moons to challenge Piramal’s DHFL buy VIEW HERE ⤡ (As reported on 9 Jun 2021 ©The Mint)
NCLAT asks CoC to consider 63 moons’ plea in DHFL Resolution Plan VIEW HERE ⤡ (As reported on Jan 27 2022 ©Business Standard)
SC stays NCLAT order in DHFL case on Piramal’s appeal VIEW HERE ⤡ (As reported on 12th April, 2022 ©Business Standard)
Jignesh Shah, founder of 63 Moons Technologies, has significantly impacted Indian financial markets through his vision. As Chairman Emeritus, he focuses on fostering 108 new digital startups across industries like Space-Tech and Agri-Tech via JS Innovation Lab™, aligned with initiatives like ‘Startup India.’ Shah has earned accolades including the Indian Express Innovation Award and EY Entrepreneur of the Year. Notably, 63 Moons established NSEL, India’s first spot exchange, promoting a unified market for agricultural and manufactured goods. ⤡ ⤡
Since we have mentioned these things innumerable times in the course of our other blog articles/letters/reports/posters/films etc., this much will do for the time being.
IBC Section 66 Overlooked by the DHFL-CoC: A Big Conspiracy?
The DHFL Case and the Contradictory Verdicts of the NCLAT
Next comes Moneylife with its founders: Mrs. Sucheta Dalal and Mr. Debashis Basu. Till date, they have successfully explored the irregularities and loopholes in the hastened resolution of the DHFL under the IBC. They have examined concerns about transparency, valuation disparities, and bid handling in favour of Piramal Group. They have critiqued several gaps in the DHFL insolvency process, suggesting bias against retail investors and creditors, which underscores systemic issues in ensuring fair asset recovery and trust in the IBC proceedings, calling for systemic reforms. Their focus remains on the broader implications for India’s insolvency framework per se.
Moneylife also critically examined a forensic audit report on DHFL, revealing a ₹20,000 crore shortfall due to fraudulent practices, including fake accounts and loans to shell companies. It thereby criticized the secrecy surrounding the report and questioned the regulatory oversight by SEBI, RBI, and others. Concerns were raised about the lack of action to protect public funds, especially retail investors’ money tied up in fixed deposits and bonds.
It was Moneylife that highlighted the fact that DHFL’s fixed deposit (FD) and non-convertible debenture (NCD) holders face significant losses due to systemic loopholes in the RBI-led resolution process. Retail investors losing principal amounts while promoters and larger creditors benefit posits the unequal treatment under the CIRP. Mrs. Dalal once urged the DHFL stakeholders to intervene legally or risk being overlooked in their asset recovery. She also managed to reveal that a sum of Rs. 100 crores was reserved for the resolution professionals to defend themselves in the context of future litigation against them by the victims! This was not revealed to the DHFL victims after repeated RTIs regarding the expenditure of the RBI-appointed CoC for DHFL⤡ ⤡.
Moneylife, founded by Debashis Basu and Sucheta Dalal, leverages their combined 60 years of expertise in business, regulatory, and consumer-investor issues. Debashis Basu, a Chartered Accountant with three decades of journalism experience, has worked with leading publications and authored several business books, including The Scam. He has served on SEBI committees and leads research on financial products at Moneylife. Sucheta Dalal, a renowned investigative financial journalist, exposed major financial scams like Harshad Mehta and Enron. A Padma Shri awardee, she has co-authored The Scam and oversees Moneylife’s news, social reporting, and grievance redressal. ⤡
Consequently, we must not forget to thank Shrimati Supriya Shrinate, the Indian National Congress (INC) Spokesperson, who accused the BJP, with substantiated evidence, of receiving ₹27.5 crore in donations from DHFL, a company implicated in a ₹34,615 crore financial scam and bankruptcy. Shrinate highlighted that such crony contributions raise serious ethical and legal concerns about political funding/charity/donations via the mediation of the underworld/shadow economy (Dawood Ibrahim, Iqbal Mirchi et al.⤡ ⤡) as reported by Cobrapost in 2019. She demanded a thorough probe into the crony oligarchical BJP’s acceptance of these funds and questioned such terror-funding of obscure dubious contributions.
BJP received donations from scam-hit DHFL, says Congress VIEW HERE ⤡ (As reported on 25th June, 2022 ©The Hindu)
Finally, we must express our gratitude to INC’s Mr. Rahul Gandhi, who had exposed Mr. Piramal’s crony connection with the BJP in the Flashnet Scam, further helping the victims in coming up with more substantial confronting-points against the pre-founded bias of the RBI-CoC in favour of Piramal from the very beginning of the CIRP.
Piyush Goyal must resign, says Rahul Gandhi VIEW HERE ⤡ (As reported on 1st May, 2018 ©TOI)
DHFL: Return Gift by BJP to Piramal for Flashnet Scam
Quid Pro Quo: BJP and Ajay Piramal
Beyond Pretensions: Narendra Modi and Ajay Piramal
Even today, Mr. Rahul Gandhi has rightly summed up, in one his posts on X, the BJP’s crony intentions that has led to the failure of public sector banks (PSBs), which was followed by baseless attacks on the part of the incumbent Finance Minister Nirmala Sitharaman.
Just 7 days ago, Hon’ble NCP (SP) MP Supriya Sule, while talking about the Banking Laws (Amendment) Bill, 2024, urged clarity on cooperative bank director tenures for better governance. She stressed prioritizing depositor compensation in financial fraud cases over punitive action. Sule raised concerns about cyber scams, questioned government collaboration with banks on solutions, and highlighted issues with outsourcing farmers’ loans to NBFCs, leading to higher rates. She also inquired about government plans to regulate these practices and support banks amidst growing mutual fund investments.
III. Unveiling Crony Briberies
After this episode of thanksgiving, we have a few more points to adjoin with the above.
The revelations from the two consecutive Hindenburg Reports and the US court accusations against Mr. Adani underscore a disturbing trend under the current BJP government—one that seems to thrive on political patronage, or otherwise, crony bribery as well as terror-funding. The regime appears to be heavily favouring two prominent business magnates, Mr. Adani and Mr. Mukesh Ambani (with ties to the Piramal family). Dhruv Rathee’s following analysis exposes the all-encompassing nature of political corruption within the NDA government’s regime. From this, it can be inferred that Mr. Ajay Piramal’s case could also be entangled in this web of cronyism and questionable financial dealings in the den of “itching palms”!
⤡The Modani “Saga”: The Failed State of India
In fact, along with the question of political bribery in the DHFL scam, we are extremely concerned about the involvement of BJP-affiliated judicial representatives such as Justice Bela Trivedi⤡ and SGI Tushar Mehta⤡ at the Supreme Court of India, who might reflect their “confirmation bias” in favour of the ruling party in the upcoming judgment instead of listening to the legitimate cries of the “other 99%”.
IV. Que Sera Sera…
In conclusion, as we remarked in the beginning of this article, that we are indifferent to the “verdict” that is about to come from the Supreme Court of India, given that we have followed the following dictum of the Bhagavad Gītā:
कर्मण्येवाधिकारस्ते मा फलेषु कदाचन।
मा कर्मफलहेतुर्भूर्मा ते सङ्गोऽस्त्वकर्मणि॥ २-४७
You have the right to work only but never to its fruits.
Let not the fruits of action be your motive, nor let your attachment be to inaction. (Chapter 2, Verse 47)
While the first line of this śloka is widely known, it is the second line that offers a profound insight. It emphasizes that, regardless of the outcome (Que Sera Sera—whatever will be, will be), the jīvātman must not shy away from the performance of karma. Under no circumstances is karmavirati, or the abstention from action (or cessation of work), considered desirable. Thus, the revolutionary second line of the śloka is not a fatalistic one. Even if the verdict turns out to be unfavourable to the DHFL victims despite such extant investigations by those entities mentioned above, we must call the Indian nation-state an crony oligarchical machinery, where the demarcating line between the political executive and the judiciary has withered away.
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