Delhi-based businessman Vishvanidhi Dalmia has filed a recovery suit in the Bombay High Court against brokerage India Infoline Commodities and four of its officials including IIFL Holdings chairman Nirmal Jain, following delay in recovery of money invested in the National Spot Exchange (NSEL). IIFL Holdings is the promoter of India Infoline Commodities. Dalmia, who has business interest in real estate, garment exports and securities markets, has filed a suit to recover Rs 11.38 crore (Rs 7.6 crore investment and Rs 3.78 crore interest). Earlier, a Mumbai-based investor had filed a similar case against another commodity broker to recover Rs 9 crore in the NSEL scam.
The Securities and Exchange Board of India (Sebi) has formed a committee to look into the role of brokers in the NSEL case. In his petition, filed on Friday, Dalmia said an India Infoline Commodities employee informed him that investments in commodities were “extremely safe”, that it could fetch a “return of 13-15 per cent per annum” and that the payments were backed by stocks. He stated he was told by India Infoline Commodities that NSEL was regulated by various ministries and Sebi. Dalmia accused India Infoline Commodities of mis-selling, false assurance and lack of disclosure. Earlier, officials of some brokerages were arrested by the Economic Offences Wing of Mumbai Police on charges of inducement and mis-selling of NSEL products. The Enforcement Directorate, too, is probing if the case involved money laundering.
“We have not received any such notice. The allegations are with an ulterior motive and mala-fide intention. We reiterate and strongly deny such allegations. As the public is aware, the matter related to NSEL defaulting to investors is under investigation/consideration for the last two-and-a-half years by the government/investigating agencies/regulators and court,” said an IIFL spokesperson.
