Shares of Indiabulls Housing Finance surged 11 per cent after Abhay Yadav who had filed a petition against the non-banking finance company, its chairman Sameer Gehlaut and other directors for the alleged siphoning off funds worth Rs 98,000 crore withdrew his case in the Supreme Court. Today the shares of Indiabulls Housing ended at 694.34, up 73.15 points from the previous close.
Indiabulls Housing shares rallied around 13 per cent to Rs 699 per share on BSE after the news of withdrawing of the petition by Yadav became public. Today, the company’s scrip had opened at Rs 621.15 a share. The shares of housing finance major and the other group companies of Indiabulls had fallen massively on Tuesday and Wednesday after the reports of misappropriation of funds emerged. Monday, the company had said that the allegation was bizarre and was meant to malign the reputation of the company.
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Yadav, in his affidavit filed today, said that he was not aware of the contents and allegations mentioned in the complaints of the petition. “I now realise that such papers, affidavits, applications etc. were signed by me have been misused to file false complaints and petitions against Indiabulls with malafide intentions,” Yadav said.
Yadav withdrew the petition after Indiabulls moved SC for an urgent hearing. The company said Yadav bought just 4 shares on May 9 worth Rs 3,000 with the sole purpose of blackmailing and extortion. Without seeking remedy at an appropriate level, Yadav chose to file a plea with SC under Article 32, which it said was with an intention to damage the company, it said in a statement.