Tuesday, July 27, 2021

Is Big Boys Spoiling Hard Earned Money of Retail Investors because of Credit Rating Agencies?



In this Year We got First Resolution in BFSI industry by NCLT.

We are talking about Dewan Housing Finance Corporation (DHFL), India's biggest home loan mortgagee before July, 2019.

Its asset were in the tune of 1,00,000 crores.

In a few months its rating was downgraded from 'AAA' to 'D'.

Retail investors who have invested their hard earned income in the company NCDs and FDs were in shock. Same investors invested in the NCDs because of Credit Rating Provided by Rating Agencies (one of prestigious agencies).

Now these retails investors were on hope with another prestigious agency NCLT, But all in vain.


Now One Corporate bidded for another defaulter corporate and offer to pay appx 33% of Loan Value and other deposits. NCLT approves and these big boys enjoys. Any recoveries from NPAs, Stock Value marked only Rs 1. It made Double loss to investors who also have Equity portion in DHFL.

Retail Investors can watch the news only. 

Real game has been Played by Big Boys viz Piramal, Wadhwans of DHFL, NHB, NCLT, Credit Rating Agencies, Renowned Politicians and Petitioners.

Retail investors is still alive on hope.