INSUBCONTINENT EXCLUSIVE:
MUMBAI: The Securities and Exchange Board of India (Sebi) has asked Lakshmi Vilas Bank (LVB) why it did not disclose a dispute with
Religare Finvest in its regulatory filing for rights share issue launched in January, said two sources familiar with the matter.
The private
lender had claimed adjustment of a fixed deposit of about Rs 800 crore, deposited by Religare Finvest in 2016 and early 2017, towards the
This adjustment was disputed by Religare Finvest in the court
But this was not disclosed in the prospectus filed with Sebi in November 2017 for the previous rights issue
it failed to make certain material disclosures in the prospectus filed with Sebi, with which it raised close to Rs 800 crore through its
The lender is in the process of coming out with another round of fund raising worth Rs 1,500 crore.
An LVB spokesperson said the matter is
Religare Finvest also declined to comment, saying the matter is sub judice.
Religare Finvest and LVB have been engaged in a bitter legal
for the loans extended to RHC Holding and Ranchem Pvt Ltd
said in an exchange filing on May 25.
On June 3, Religare Finvest said in an exchange filing that it has filed a suit for recovery of the
said amount before the Delhi High Court.
Financial Statements of Religare Finvest for the year ended March 31, 2018, said it had invested in
provisions) of Rs 25,768 crore after adjustment of third party deposits amounting to Rs 794 crore, duly supported by legal opinions
