DLF, GMR, IndiaBulls tank after allegations by Arvind Kejriwal

MUMBAI: Shares of DLF, GMR Infrastructure and IndiaBull Group companies closed near their day’s low on Wednesday as investors offloaded positions after activist-turned-politician Arvind Kejriwal hinted that he was preparing a list of nexus between politicians and these companies.

He has accused the companies of having investments by politicians and is seeking information from the public about these firms.

IndiaBulls Real Estate closed 7.9 per cent lower at Rs 60.70, IndiaBulls Financial Services closed 3 per cent lower at Rs 224.95, IndiaBulls Power snapped 8.2 per cent to Rs 12.23 and IndiaBulls Securities plunged 7.4 per cent to Rs 9.10.

Meanwhile, the activist continued to attack DLF by producing documents that purportedly show deeper links with Robert Vadra and favours from the Haryana government, intensifying the pressure on the country's biggest real estate group.

DLF ended at Rs 213, down 5 per cent, on the BSE. DLF shares have plunged over 9 per cent in the past three sessions, following allegations against the company by the India Against Corruption activists.

“Last week, the IAC founder had accused DLF of giving unsecured interest-free loans to Vadra and his companies, using which the latter bought apartments in some premium residential projects built by the company at hefty discounts and also bought into a hotel joint venture,” ET reported.

CLSA is of the view that not much will culminate out of these allegations except for some reputation damage to DLF and the stock price impact. This news flow aside, Q2 numbers are likely to be lackluster, so see no reason to be invested here.

CLSA maintains ‘sell’ rating on the stock.

GMR Infrastructure dropped 9 per cent at Rs 23.25 on the BSE. It touched an intraday high of Rs 25.30 and a low of Rs 23.85.