#auditfail_dhfl

[debaprasad]

From AAA-Ratings to Haircut-Ashes: Rating and Auditing Gaps in the DHFL “Scam” by DebaprasadBandyopadhyay Via Flickr: onceinabluemoon2021.in/2025/07/20/from-aaa-ratings-to-hai... The article discusses The DHFL scam, one of India’s largest corporate frauds (~₹34,000 crore), involved massive fund diversion through shell companies and fictitious borrowers, as exposed by a Cobrapost sting and later confirmed by KPMG’s forensic audit. Despite clear red flags, credit-rating agencies maintained high ratings, auditors overlooked accounting irregularities, and regulators like SEBI and RBI failed to act swiftly. DHFL defaulted in 2019, became the first NBFC under IBC insolvency proceedings, and was later acquired by Piramal Capital. The scam highlighted systemic failures in governance, auditing, and regulatory oversight, prompting tighter NBFC regulations, strengthened auditing standards, and enhanced corporate governance norms. I. Introduction

[debaprasad]

DHFL Fraud Uncovered: It’s Time to Make the Gatekeepers Pay! by DebaprasadBandyopadhyay Via Flickr: onceinabluemoon2021.in/2025/07/30/dhfl-fraud-uncovered-it... This mass appeal highlights the collective plight of lakhs of small depositors adversely impacted by the Dewan Housing Finance Corporation Ltd. (DHFL) financial scandal, exposing significant lapses in auditing, credit rating, and regulatory oversight. Despite glaring irregularities and large-scale fraud involving over ₹31,000 crore, statutory auditors and leading credit rating agencies repeatedly (and reportedly) failed in their fiduciary duties, issuing allegedly misleading assurances that betrayed public trust. The present appeal calls for urgent institutional accountability through independent disciplinary action by regulatory bodies including NFRA, ICAI, SEBI, and RBI, alongside demands for restitution mechanisms for affected depositors. It also underscores the need for enhanced transparency in insolvency resolution processes and structural reforms to prevent recurrence of such financial malfeasance. This appeal represents a broader call for systemic justice, ethical governance, and protection of vulnerable retail investors in India’s financial ecosystem.

[debaprasad]

Landmark Victory in the DHFL Chronicle: A New Ray of Hope for the Victims by DebaprasadBandyopadhyay Via Flickr: onceinabluemoon2021.in/2025/08/15/landmark-victory-in-dhf... 31 July 2025, the Chandigarh State Consumer Commission delivered a landmark ruling in the DHFL scam, holding Catalyst Trusteeship, CARE Ratings, and Brickwork Ratings liable for negligence and ordering them to compensate an investor—marking the first time market gatekeepers, not just the defaulter, were held accountable. This breakthrough offers all DHFL victims a second path to justice beyond the Insolvency and Bankruptcy Code, empowering them to pursue trustees, rating agencies, and other enablers. Once in a Blue Moon Academia (OBMA) has long called for such accountability, urging victims to unite, gather evidence, sign petitions, and build a sustained public movement to turn this precedent into systemic change.

[debaprasad]

DHFL Scam: Who Audited and Rated Our Trust? by DebaprasadBandyopadhyay Via Flickr: onceinabluemoon2021.in/2025/08/18/dhfl-scam-who-audited-a... Between 2010 and 2019, DHFL projected itself as a secure, AAA-rated housing finance company, yet it concealed one of India’s largest financial frauds involving shell companies, fictitious loans, and alleged political collusion with the BJP. Despite glaring irregularities, auditors and credit rating agencies continued to endorse its credibility, betraying the trust of lakhs of ordinary small depositors. The collapse left vulnerable groups—senior citizens, widows, pensioners, and salaried professionals—with devastating losses, while the resolution process (reportedly) disproportionately benefitted one chosen corporate acquirer. This appeal demands disciplinary action against negligent auditors and rating agencies, restitution for depositors, transparency in insolvency proceedings, and systemic reforms to restore accountability in financial governance.

[debaprasad]

DHFL Scam: Who Audited and Rated Our Trust? by DebaprasadBandyopadhyay Via Flickr: onceinabluemoon2021.in/2025/08/18/dhfl-scam-who-audited-a... Between 2010 and 2019, DHFL projected itself as a secure, AAA-rated housing finance company, yet it concealed one of India’s largest financial frauds involving shell companies, fictitious loans, and alleged political collusion with the BJP. Despite glaring irregularities, auditors and credit rating agencies continued to endorse its credibility, betraying the trust of lakhs of ordinary small depositors. The collapse left vulnerable groups—senior citizens, widows, pensioners, and salaried professionals—with devastating losses, while the resolution process (reportedly) disproportionately benefitted one chosen corporate acquirer. This appeal demands disciplinary action against negligent auditors and rating agencies, restitution for depositors, transparency in insolvency proceedings, and systemic reforms to restore accountability in financial governance.

[debaprasad]

DHFL Scam: Who Audited and Rated Our Trust? by DebaprasadBandyopadhyay Via Flickr: onceinabluemoon2021.in/2025/08/18/dhfl-scam-who-audited-a... Between 2010 and 2019, DHFL projected itself as a secure, AAA-rated housing finance company, yet it concealed one of India’s largest financial frauds involving shell companies, fictitious loans, and alleged political collusion with the BJP. Despite glaring irregularities, auditors and credit rating agencies continued to endorse its credibility, betraying the trust of lakhs of ordinary small depositors. The collapse left vulnerable groups—senior citizens, widows, pensioners, and salaried professionals—with devastating losses, while the resolution process (reportedly) disproportionately benefitted one chosen corporate acquirer. This appeal demands disciplinary action against negligent auditors and rating agencies, restitution for depositors, transparency in insolvency proceedings, and systemic reforms to restore accountability in financial governance.

[debaprasad]

When Institutions Dodge Responsibility, Who Answers to the DHFL Victims? by DebaprasadBandyopadhyay Via Flickr: onceinabluemoon2021.in/2025/08/20/when-institutions-dodge... On 30th July 2025, OBMA submitted a detailed appeal to India’s top regulatory and judicial authorities, calling for institutional accountability, independent inquiry, and restitution for thousands of DHFL depositors whose savings were wiped out. Despite detailed evidence of auditing failures, flawed credit ratings, and regulatory lapses, SEBI’s response was allegedly a bureaucratic deflection, refusing responsibility. To highlight this stark contrast, we designed a poster juxtaposing the plea for justice with SEBI’s mechanical reply, exposing systemic evasions and the erosion of public trust. Download, share, and spread this poster—because when regulators dodge responsibility, ordinary citizens pay the price.

[debaprasad]

When Institutions Dodge Responsibility, Who Answers to the DHFL Victims? by DebaprasadBandyopadhyay Via Flickr: onceinabluemoon2021.in/2025/08/20/when-institutions-dodge... On 30th July 2025, OBMA submitted a detailed appeal to India’s top regulatory and judicial authorities, calling for institutional accountability, independent inquiry, and restitution for thousands of DHFL depositors whose savings were wiped out. Despite detailed evidence of auditing failures, flawed credit ratings, and regulatory lapses, SEBI’s response was allegedly a bureaucratic deflection, refusing responsibility. To highlight this stark contrast, we designed a poster juxtaposing the plea for justice with SEBI’s mechanical reply, exposing systemic evasions and the erosion of public trust. Download, share, and spread this poster—because when regulators dodge responsibility, ordinary citizens pay the price.