Thread by @deepakshenoy

My view on the cobrapost "expose": There's some fire in there, but way more smoke. 31,000 cr. is terribly misleading; the problem is a fraction of the 14,000 cr. loans made to entities linked to the promoter (and the market's been fretting about that earlier too)

What I find is bullshit - the donations to BJP (not a big deal) of 20 cr.
- the allegations of insider trading by using some random data - there is far more to this than the eye is being shown, but the 1000 cr. allegation is bull

I'm also finding inconsistencies in the slum rehab thing. Cobrapost says a loan given to "Ghardwar real estate" of 430 cr. to a sham project, but indeed, the loan document is cosigned by "Darshan developers" who is the developer of the said Slum rehab proj sra.gov.in/page/innerpage…

You can see that in this document of cobrapost: cobrapost.com/public/image/F…

If Darshan cosigned (this is only an offer doc, we don't know if it was sanctioned) and darshan was given the project according to the SRA site, then the loan is valid?

If one 430 cr. loan was called "sham" and is now valid (against the mortgage of a slum rehab - actually three projects) then does it mean that we have to go through each allegation now and find holes? What if they're mostly flimsy?

Further, if 430 cr. is no longer a problem and we find more holes then it's quite likely that a substantial part of the 31,000 cr. claim is incorrect.

In fact, Cobrapost even mentions something about companies not being on the SRA website - but their loans are cosigned by Darshan developers who DOES appear on the SRA website as the developers of these projects.

In another instance, they claim that this doc is supposed to be a loan document - it's just a mortgage deed against a loan that might have been disbursed in stages or at once (no evidence it was either) and either ways, no issues, cos they had collateral. cobrapost.com/public/image/F…

The more I dig, the more inconsistencies I find in the cobrapost expose. I'm going to stop here, because if a rookie like me can find this much in a couple hours - a seasoned investigator will park a truck in the holes left behind in this story.

But I will end with : Don't believe what you read - even what I said above - without your own investigation. There's plenty wrong with DHFL, and yes, there's some looping around, but overall, the DHFL loan book isn't quite like this (mostly retail). I'm done with cobrapost.

Disclosure: No shares or bonds of DHFL owned - I even suggested that people exit the bonds a few days back, quite unknowingly. This is not a defense of the company - it's an investigation of an investigation.