Particle.news
Download on the App Store

Cholamandalam Rebuts Cobrapost Claims, Moves to Engage Regulators

Management used an investor call to argue the report misreads disclosures.

Overview

  • Cobrapost alleged over ₹10,000 crore in related-party dealings at Murugappa-linked entities and about ₹25,000 crore in cash deposits by CIFC across 14 banks since 2019.
  • CIFC rejected the charges as malicious and distorted, saying all related-party transactions were disclosed in line with applicable standards and that the report applies retrospective definitions.
  • Management said cash handling reflects its retail borrower mix, noting cash collections have declined to roughly 15% from about 50% earlier under internal controls and audits.
  • The company highlighted liquidity of ₹14,900 crore in cash and bank balances as of November 30 and a strengthening capital position, with brokerage commentary flagging expected net-worth gains from CCD conversions.
  • CIFC said it will engage regulators to examine potential market-manipulation motives and consult legal advisers on possible action, with no independent regulatory probe publicly announced.