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Ansh Kadam
Founder & CEO at Bui... • 20h
This is how 2 brothers pulled off one of India’s biggest bank loan scams of ₹35,000 Cr. The Wadhawan brothers claimed DHFL was the savior of the Indian middle class with affordable home loans. But behind the scenes, they were defrauding the very system that trusted them — siphoning off over ₹35,000 Cr. Here’s how the whole scam was orchestrated like a masterclass in deception. From 2010 onwards, Dewan Housing Finance Limited (DHFL) began aggressively giving home loans to low-income families, something that aligned beautifully with national interests. Banks, believing in this noble mission, started lending huge amounts. In just 9 years, DHFL raised ₹42,000 Cr from over 17 banks, with Union Bank of India being the largest lender. But in 2019, the illusion shattered, UBI found DHFL was defaulting on repayments. An RBI audit followed… and what it uncovered was mind-blowing. Over ₹35,000 Cr had been siphoned off through a web of 100+ shell companies and 2.6 lakh fake home loan accounts. It didn’t stop there, they even claimed ₹1,800 Cr from the PMAY (Pradhan Mantri Awas Yojana) scheme meant to help the poor own homes. Where did the money go? Private jets, fleets of luxury cars, and even ₹50+ Cr worth of just paintings and luxury watches. Eventually, the law caught up — the Wadhawan brothers are now in jail. But the damage to the financial ecosystem was already done. Here’s the real lesson for founders and business owners: 👉 Transparency in your books isn’t optional. It’s your reputation. 👉 Aggressive growth without ethical controls is a ticking time bomb. 👉 And if you ever plan to raise funds — investors trust numbers. Make sure they are real. No matter how visionary your mission is, if your foundations are built on deceit, it’s not a business. It’s a scam waiting to explode. And if you want more no-fluff breakdowns on finance, business, and growth, subscribe to my newsletter (link in comment).
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