Rel Cap, Rel Home Finance plumb fresh 52-week lows

Anil-Ambani-2---BCCLNEW DELHI: Hitting their fresh 52-week lows, shares of Reliance CapitalNSE -10.36 % fell over 13 per cent to Rs 73.30 while those of RelianceNSE -0.73 % Home FinanceNSE -0.49 % declined over 7 per cent to Rs 13.85 in Friday’s session.

Both stocks extended their losing streak to third consecutive session amid reports that Sebi and the Ministry of Corporate Affairs are looking into the sudden resignation of PWC as auditor of Reliance Capital and Reliance Home Finance and have asked the stock exchanges to collect all necessary information including trade details and statements made by the three entities.

Price Waterhouse & Co (PwC) had informed the Ministry of Corporate Affairs about certain alleged irregularities in the books of accounts of both the companies.

As per reports, the irregularities, which involved alleged diversion of funds and transactions between the two firms and other group companies, came to light while it was auditing the books of the two companies for the first quarter ending June 2019.

Meanwhile, Reliance Capital termed the allegations by PwC as “baseless” and “unjustified”.

In a BSE filing on Thursday, the Anil Ambani-led firm said PWC acted prematurely without even statutory discussions with the audit committee.

[“source=economictimes.indiatimes”]

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