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PMC Bank case: Promoters of HDIL arrested, property worth Rs 3,500 cr frozen

Rakesh Wadhawan and his son Sarang Wadhawan, promoters of HDIL that set off the massive crisis at the Punjab Maharashtra Co-operative (PMC) Bank, were arrested today.

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Rakesh Wadhawan with his son sarang wadhawan

Rakesh Wadhawan and his son Sarang Wadhawan of the real estate firm HDIL that set off the massive crisis at the Punjab Maharashtra Co-operative (PMC) Bank, following a loan default of Rs. 6,500 crore, were arrested today – Thursday, Oct 3 – by the Economic Offences Wing (EOW) of the Mumbai Police.

Properties worth Rs 3,500 crore of HDIL have also been frozen by the EOW, reported News18.

Rakesh Wadhawan and Sarang Wadhawan, also the promoters of Housing Development and Infrastructure Ltd (HDIL), were named in a police complaint that also accused the bank’s management of concealing non-performing assets and disbursing loans to HDIL leading to a loss of at least Rs. 4,300 crore.

Rakesh Kumar Wadhawan is the executive chairman of the HDIL, while Sarang Wadhawan is managing director.

The move came a few days after the government issued a look-out circular against the two directors after preliminary findings allegedly revealed financial irregularities at HDIL. A look out circular is issued against a person directing the immigration authorities to ensure that he or she does not leave India through an airport or seaport.

The Mumbai Police had on Monday filed a case against the former bank management and promoters of HDIL in the PMC Bank case and said a special investigation team will be probing it.

Crisis-hit HDIL had said that loans taken from banks, including PMC Bank, were in normal course of business after providing adequate security cover and that it is ready to discuss with the bank to protect the interest of depositors.

PMC’s exposure to HDIL group is reported to be nearly 73% of its total loan book size of Rs 8,880 crore as of September 19, 2019.

Currently, HDIL is reported to be developing various projects at Kurla, Nahur, Mulund and Palghar and has a residential portfolio of 86.22 lakh sq ft under construction.

It has a land reserve of around 193 million sq ft as on March 31, 2019, with 90 per cent of its land reserves in Mumbai Metropolitan Region, as per the 2018-19 annual report. Incorporated in 1996, Mumbai-based HDIL mainly focused on real estate development in the Mumbai Metropolitan Region, which included clearing slum land and rehabilitating slum dwellers.

The main source of revenue of HDIL, for long, has been selling of development rights to other property developers, after developing the slum land. The company reported revenue of Rs 601.20 crore in FY19 and a net profit of Rs 96.19 crore.

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Rahul Gandhi says air pollution in North India a national emergency, tourism declining, global reputation crumbling

“We need a collective national response, not political blame games,” the Congress leader said on his X handle.

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Leader of Opposition in the Lok Sabha Rahul Gandhi on Friday said the air pollution in North India is a national emergency that needs a collective national response and not a political blame game. The Congress leader added that due to air pollution tourism is declining and “our global reputation is crumbling”.

It is a public health crisis that is stealing children’s future and suffocating the elderly, Gandhi said, adding an environmental and economic disaster that is ruining countless lives.

“As Parliament meets in a few days, MPs will all be reminded of the crisis by our irritated eyes and sore throats. It is our responsibility to come together and discuss how India can end this crisis once and for all,” the Leader of the Opposition in Lok Sabha said.

The former Congress chief said the poorest “among us suffer the most”, unable to escape the toxic air surrounding them. Families are gasping for clean air, children are falling sick, and millions of lives are being cut short, he added.

The Rae Bareli MP noted that the pollution cloud covers hundreds of kilometres. He said cleaning it up will require major changes and decisive action from governments, companies, experts, and citizens.

“We need a collective national response, not political blame games,” the Congress leader said on his X handle.

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Indian Navy submarine collides with fishing boat near Goa coast, 2 fishermen missing

A spokesperson from the Navy told the media that eleven crew have been rescued so far.

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Indian Navy submarine collides with fishing boat near Goa coast, 2 fishermen missing

Indian Navy officials on Friday said that an Indian fishing vessel with a crew of 13 collided with an Indian Naval submarine near the Goa coast. 

Following the incident, a massive search and rescue operation has been launched by the Indian Navy, which has deployed six ships and aircraft. Reportedly, while 11 crew have been rescued, two are still missing.

The Ministry of Defence issued a statement and said that the vessel, Marthoma, collided with a Scorpene-class submarine about 70 nautical miles off the Goa coast. It added that search and rescue efforts for the remaining two are underway and are being coordinated with Maritime Rescue Coordination Centre Mumbai (MRCC). It further mentioned that additional assets including from the Coast Guard have been diverted to the area to augment the efforts.

The statement said that the cause of the incident is being investigated. Notably, Scorpene-class submarines are a major part of India’s naval power in the Indian Ocean as they can undertake multifarious types of missions, including anti-surface warfare, anti-submarine warfare, intelligence gathering, mine laying, and area surveillance.

Reports said that the state-of-the-art technology utilised for the construction of the Scorpene-class submarines has ensured superior stealth features such as advanced acoustic silencing techniques, low radiated noise levels, hydro-dynamically optimized shape and the ability to launch a crippling attack on the enemy using precision-guided weapons. Furthermore, the attack can be launched with both torpedoes and tube-launched anti-ship missiles, whilst underwater or on the surface.

Meanwhile, the Indian Navy in its statement said that 13 crew members were aboard the fishing vessel at the time of the collision. It added that while 11 crew have been rescued so far, two fishermen are still reported missing.

A spokesperson from the Navy told the media that eleven crew have been rescued so far. He stated that search and rescue efforts for the remaining two crew members of Marthoma are in progress and are being coordinated with the Maritime Rescue Coordination Centre (MRCC), Mumbai. Additional assets including from the Coast Guard have been diverted to the area to augment the efforts, he continued.

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10 Naxalites killed in encounter in Chhattisgarh’s Sukma

The District Reserve Guard (DRG) and the Central Reserve Police Force (CRPF) continue their search operation in the area.

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Ten Naxalites were killed in an encounter with security forces in the Sukma district of Chhattisgarh on Friday.

The confrontation started in the morning within a forest area under the jurisdiction of the Bhejji police station, where a joint operation was being conducted by security personnel as part of an anti-Naxalite initiative, according to Inspector General of Police (Bastar Range) Sundarraj P. 

This operation was initiated following intelligence regarding the presence of Maoists connected to the Konta and Kistaram area committees, situated in the forested regions around Korajguda, Dantespuram, Nagaram, and Bhandarpadar villages.

So far, the bodies of ten Naxalites have been recovered at the scene. Additionally, a significant cache of weapons was seized, including an INSAS rifle, an AK-47, and a Self Loading Rifle (SLR). 

The District Reserve Guard (DRG) and the Central Reserve Police Force (CRPF) continue their search operation in the area. This incident contributes to the year-to-date total of 207 Naxalite fatalities recorded in various clashes across the Bastar region of Chhattisgarh, comprising seven districts. 

On Wednesday, Chhattisgarh Chief Minister Vishnu Deo Sai met with Union Home Minister Amit Shah in the national capital, North Block. Their discussion focused on developmental progress in Naxal-affected areas of Chhattisgarh and efforts aimed at enhancing peace and stability in these regions. 

The Chief Minister emphasised that both the state government and security forces are diligently working to eradicate Naxal influence in Chhattisgarh, aligning with the Union Home Minister’s commitment to eliminate Naxalism by 2026.

“I met with Union Home Minister Amit Shah and updated him about the Naxal activities in Chhattisgarh. Over the past 11 months, close to 200 Naxals have been neutralized, and approximately 600-700 have surrendered. We are making significant strides towards the goal set by the Prime Minister and Home Minister to achieve a Naxal-free India by March 2026,” CM Sai told reporters following the meeting.

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