What next, Reliance Home Finance?

This is no default caused by liquidity tightness. It could have been avoided had the loans to group companies not been given. Period.

In its forensic audit report of Reliance Home Finance Ltd (RHFL), Grant Thornton, a globally known firm for audit, forensic and investigation services, has not recorded any adverse findings on 11 parameters, including any diversion or siphoning of funds, embezzlement, falsification of accounts and fraudulent transactions by the promoter, the company, its employees or any associates. The company’s statement said so last week.

RHFL’s lenders had appointed Grant Thornton for the audit in August 2019, in accordance with the Reserve Bank of India norms for resolution of bad debt. “The forensic report has confirmed the potential group entities’ exposure through several