Fraud-hit Dewan Housing Finance Ltd's (DHFL) administrator R Subramaniakumar on Wednesday said the company's focus continues to be on restoration of normalcy in operations.
Fraud-hit Dewan Housing Finance Ltd’s (DHFL) administrator R Subramaniakumar on Wednesday said the company’s focus continues to be on restoration of normalcy in operations. The pure play mortgage player is the first non-banking financial company/housing finance company to face a corporate insolvency resolution process (CIRP).
Last year in December, the Mumbai bench of the National Company Law Tribunal (NCLT) had admitted the company for insolvency resolution, and appointed Subramaniakumar, former MD and CEO of Indian Overseas Bank, as its administrator.
“During these unprecedented times, it shall remain our continuous endeavour to restore normalcy in operations while we move towards a very critical juncture of the CIRP as we invite resolution plans from the Prospective Resolution Applicants,” Subramaniakumar wrote in a message to the company’s shareholders in its annual report. He also thanked the prospective resolution applicants for showing interest in the company.
During the CIRP, several steps were taken to ensure that the company is compliant to the regulatory framework and is able to operate as a going concern. A specific focus was kept on strengthening corporate governance, improving risk management framework, and drastically reducing the lender’s operating cost through a drive of austerity, he said.
During FY20, the company reported a net loss of Rs 13,612.32 crore and its gross income dropped 27.59 per cent to Rs 9,343.12 crore.