Dalmia Bharat receives securities worth Rs 344 crore back from IL&FS Securities

NEW DELHI: Cement maker Dalmia Bharat Ltd on Friday said securities worth Rs 344 crore have been credited back to the demat account of its arm by IL&FS Securities Services following an order of the Supreme Court.

Mutual fund units of its two erstwhile subsidiaries were earlier “fraudulently and illegally transferred” by Allied Financial Services Pvt Ltd (AFSPL) “in collusion with IL&FS Securities Services Limited (ISSL)”, Dalmia Bharat said in a regulatory filing.

The two subsidiaries were of Dalmia Bharat’s step-down firm Dalmia Cement (Bharat) Limited (DCBL).

“We hereby further update that the said Securities of DCBL lying with ISSL were released in favour of DCBL and credited back to its demat account as per said order of the Supreme Court,” it said.

Earlier on March 16, 2021, the Supreme Court had modified its previous order of August 2019 and had allowed the release of the securities.

The apex court had directed “release of the Mutual fund units of two erstwhile subsidiaries of DCBL, which is a subsidiary of the Company, valued at approx Rs 344 crore (‘Securities’) which were fraudulently and illegally transferred by AFSPL in collusion with IL&FS Securities Services Limited (ISSL) and the same were lying with ISSL,” it said.