DHFL Shares Touch 52-Week Low After Deloitte Resigns As Auditor

Deloitte quit as the auditor of cash-strapped Dewan Housing Finance Corporation (DHFL), a PTI report said on Sunday, citing sources. It further said that communication regarding Deloitte's resignation has been sent to the Ministry of Corporate Affairs.

Reasons for the resignation were not disclosed but some reports suggest that Deloitte Haskins & Sells and the company's second auditor, Chaturvedi & Shah, were to quit due to unsatisfactory responses from the company to their queries related to fund deployment.

Shares of DHFL Ltd slipped by close to 11 percent in trade on Monday to touch a 52-week low of Rs 40.80 apiece.
DHFL as an accumulated debt of Rs 90,000 crore and has defaulted on its various repayment obligations in a serial manner in the recent past. The company said that it was working with its lenders to work out a debt resolution plan by July-end. However, a plan is yet to be finalised.

In the recent past, the cash-strapped company has been trying to generate funds through various means like exiting from its subsidiary units to tide over the current financial crunch.

The company in mid-July posted its biggest-ever quarterly loss of Rs 2,224 crore for the quarter ended March of 2018-19 fiscal.

The company has not yet announced the financial results for the June-ended quarter amid ongoing issues.

Inputs from PTI