DLF Shares in intra-day trade on August 22 plunged nearly 20% to its over 31-month low of Rs. 137.65 on the NSE after the company received a notice from the Supreme Court over non-disclosure of significant information in Qualified institutional placement (QIP).
As per a Business Line report, petitioner KK Singh told the Supreme Court that the real estate major did not specified key cases relating to the violation of the Haryana Land Ceiling Act, 1972, in whose respect the Punjab and Haryana High Court passed adverse orders and the matter is still pending with the SC.
The court passed an order directing probe into DLF group companies and its subsidiaries for breach of land ceiling act and other laws, as well as issues pertaining to benami purchases, licensing, stamp duty payment and transfer pricing, added the report.
Nonetheless, Ashok Tyagi, Wholetime director of DLF defied all such charges and said in an interview with CNBC TV 18 that "All material disclosures had been made in the QIP and complaint is about 5-6 acres of land by a co which is not company's arm".
"DLF has received the notice from Supreme Court a month ago and SC notice does not ask us for any disclosures. SC has asked DLF & SEBI whether the complainant should be impleaded in the case", added Tyagi.
Further as per the report, if the apex bank makes an adverse order then the company's investors will be impacted as the petition asks the company to return over Rs. 5000 crore, which it raised in two of the QIPs, of which one was in 2019.
At 2:50 pm, the stock of DLF quoted higher at Rs. 148.50 per share, down Rs. 23.10 or 13.46%