Dalmia Bharat Limited has issued a detailed clarification denying recent media and social media reports related to an alleged SFIO investigation involving fraudulent transfer of mutual fund units belonging to its subsidiary company.

The company made the disclosure through a regulatory filing submitted to BSE Limited and the National Stock Exchange of India under Regulation 30 of the SEBI Listing Obligations and Disclosure Requirements Regulations, 2015.

According to the filing dated 8 May 2026, the company described the recent reports as speculative and motivated and stated that the published articles did not seek clarification from the company before publication.

The clarification comes after certain media sections reportedly carried stories regarding an SFIO report related to the alleged fraudulent transfer of mutual fund units by Allied Financial Services Private Limited.

Company Denies Allegations In Reports

At the beginning of its statement, Dalmia Bharat clearly denied the contents of the reports and explained the background of the matter.

The company stated that Dalmia Cement Bharat Limited, a subsidiary of Dalmia Bharat Limited, had opened a demat account with Allied Financial Services Private Limited, which acted as a depository participant.

According to the company, Allied allegedly misappropriated securities from the demat account belonging to Dalmia Cement Bharat Limited.

The company further stated that complaints were lodged with several authorities including:

• SEBI
• NSE
• NSDL
• Economic Offences Wing

The clarification emphasized that the subsidiary itself was allegedly a victim in the matter.

FIR Registered By Economic Offences Wing

The company disclosed that the Economic Offences Wing registered FIR number 46 of 2019 dated 26 March 2019.

The case was subsequently investigated by the Delhi Police.

According to Dalmia Bharat’s filing, the Economic Offences Wing filed a chargesheet stating that mutual fund units belonging to Dalmia Cement Bharat Limited were criminally misappropriated by Allied Financial Services in connivance with IL&FS Securities Services Limited.

IL&FS Securities Services Limited reportedly acted as the clearing agent of Allied.

The filing highlighted that investigating agencies had already identified alleged irregularities involving the concerned entities.

SEBI Investigation Findings

Dalmia Bharat also referred to the investigation conducted by the Securities and Exchange Board of India.

According to the company:

• SEBI found that Allied had misappropriated securities belonging to the Dalmia Group.
• The securities were allegedly used wrongfully for Allied’s own trading activities.
• SEBI held the conduct of Allied to be fraudulent and deceptive.

The company further stated that SEBI took several actions against Allied and IL&FS Securities Services Limited, including:

• Seizure of Allied’s assets
• Restrictions on accessing securities markets
• Imposition of penalties

These actions were reportedly carried out through various SEBI orders.

SFIO Investigation Into ILFS And ISSL

The company also clarified the role of the Serious Fraud Investigation Office in the broader matter.

According to the filing:

• SFIO Mumbai investigated ILFS and its subsidiary IL&FS Securities Services Limited.
• After investigation, SFIO Mumbai filed complaints in Special Court, Mumbai.

The complaints reportedly alleged that irregular benefits were provided by IL&FS Securities Services Limited to Allied Financial Services.

According to the company’s statement, SFIO Mumbai held that IL&FS Securities Services Limited failed to enforce agreements properly and fraudulently allowed movement of collaterals in and out of the demat account belonging to Dalmia Cement Bharat Limited.

The company highlighted that these findings related to actions of the concerned intermediaries and not wrongdoing by Dalmia Bharat or its subsidiary.

Supreme Court Order Mentioned By Company

Dalmia Bharat further informed the exchanges that the Hon’ble Supreme Court had passed an order dated 27 August 2019 regarding the matter.

According to the company:

• The Supreme Court considered affidavits filed by Allied and rival parties.
• The Court ordered release of the mutual funds to Dalmia Cement Bharat Limited.

The company stated that the matter had been appropriately disclosed in the financial statements of Dalmia Cement Bharat Limited.

This clarification appears intended to reassure investors regarding the financial reporting and disclosure treatment of the issue.

Company Responds To SFIO Report Discussions

The filing also addressed the recent discussions regarding an SFIO report.

Dalmia Bharat stated that:

• A private complaint had been made by Mr. Ramesh Shiledhar, described as an associate of the Bawri Group.
• Based on the complaint, the Ministry of Corporate Affairs ordered an SFIO investigation in 2019.

The company further clarified that the Bawri Group is a shareholder in a step-down subsidiary of the company and is involved in a commercial dispute with Dalmia Cement Bharat Limited.

Importantly, Dalmia Bharat stated that:

• Neither Dalmia Cement Bharat Limited nor its associate companies have received any SFIO report.

This statement directly counters the suggestions made in certain media reports.

Company Calls Reports Speculative And Motivated

In its filing, Dalmia Bharat strongly criticised the manner in which the news reports were published.

The company stated that:

• The publications were speculative and motivated.
• No clarification or response was sought from the company before publication.

The company added that such reporting was contrary to settled standards of responsible journalism.

This section of the filing reflects the company’s attempt to protect its corporate reputation and reassure investors regarding the matter.

Commitment To Corporate Governance

The company reiterated its commitment to maintaining high standards of governance and transparency.

According to the filing:

• The company has conducted business operations in compliance with applicable laws.
• It remains committed to corporate governance standards.

Such statements are important because allegations or investigations linked to listed companies can influence investor sentiment and market perception.

Public clarifications help companies address concerns and maintain transparency with shareholders.

Why Regulatory Clarifications Matter

Companies listed on stock exchanges are required to disclose material developments and clarify market rumours when necessary.

Regulatory clarifications become especially important when:

• Media reports create uncertainty
• Allegations impact investor confidence
• Investigations attract market attention
• Corporate reputation is affected

Prompt communication through stock exchange filings helps ensure equal access to information for all investors.

It also prevents misinformation and speculative narratives from influencing the market unfairly.

Understanding The Role Of SFIO

The Serious Fraud Investigation Office is a specialised investigative agency under the Ministry of Corporate Affairs.

SFIO investigates complex corporate fraud cases involving:

• Financial irregularities
• Corporate fraud
• Accounting manipulation
• Regulatory violations

SFIO investigations generally attract significant public and investor attention because they involve corporate governance and financial integrity matters.

However, companies often issue clarifications when media reports create confusion regarding their role or involvement in such investigations.

Investor Focus On Governance Standards

Corporate governance remains one of the most closely monitored factors for listed companies.

Investors generally assess companies based on:

• Transparency
• Regulatory compliance
• Governance standards
• Disclosure quality
• Legal risk management

Any news linked to investigations or financial irregularities can create market volatility.

Therefore, detailed clarifications like the one issued by Dalmia Bharat are important from an investor communication perspective.

About Dalmia Bharat Limited

Dalmia Bharat Limited is one of India’s major cement manufacturing companies.

The company operates across multiple segments including:

• Cement manufacturing
• Building materials
• Industrial operations

It has a significant presence in the Indian cement industry and continues expanding operations across different regions.

As a large listed company, developments involving regulatory investigations or governance issues naturally attract investor and media attention.

Market Importance Of Such Disclosures

Disclosures under Regulation 30 of SEBI Listing Regulations are intended to ensure transparency and informed decision-making by investors.

Such disclosures help the market understand:

• Company position on reported events
• Regulatory developments
• Legal proceedings
• Governance issues
• Operational impact

Timely clarifications can help reduce uncertainty and prevent misinformation from affecting investor confidence.

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