DLF Shares Plunge as Supreme Court Orders CBI Inquiry into Primus Project
Shares of DLF Limited, a major player in the real estate sector, declined nearly 4 per cent on Wednesday after the Supreme Court of India ordered a probe by the Central Bureau of Investigation (CBI) into alleged irregularities linked to the Primus DLF Garden City project.
The stock dropped 3.77 per cent to close at Rs 568.15, down Rs 22.25 from its previous close of Rs 590.40. It opened lower at Rs 575.05 and rose to an intra-day high of Rs 578.45 before falling to a low of Rs 563.20 during the session.
The top court was hearing petitions filed by homebuyers who claimed that the project faced significant delays and lacked essential facilities such as permanent water and electricity connections. Taking note of these complaints, the court observed that the issues raised could be just the “tip of the iceberg” and directed the CBI to form a suitable team to conduct a detailed investigation. Further developments in the matter are awaited.
In an exchange filing, DLF stated that the stock exchange has sought clarification from the company regarding a recent news report titled “No Water, No Power At DLF's Luxury Homes In Gurgaon, Supreme Court Orders CBI Probe.” The company added that its response to the query is awaited. “The Exchange has sought clarification from DLF Limited with respect to the recent news item captioned No Water, No Power At DLF's Luxury Homes In Gurgaon, Supreme Court Orders CBI Probe. The response from the Company is awaited,” it said in its exchange filing.
Investors reacted cautiously to the development, leading to selling pressure in the stock during the trading session. In the last one week, the shares declined by Rs 42.65, or 6.98 per cent. Over the past two weeks, the stock fell by Rs 73.75, or 11.48 per cent.
In the last one month, the stock dropped by Rs 91.7, or 13.89 per cent. On a year-to-date (YTD) basis, the shares have fallen by Rs 123.05, or 17.79 per cent.
Over the past three months, the stock declined by Rs 140.6, or 19.82 per cent, while in the last six months, it dropped by Rs 189.55, or 25 per cent.
