No relief for DSK depositors amidst sale of land parcels for ₹120 crore | Hindustan Times
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No relief for DSK depositors amidst sale of land parcels for ₹120 crore

Speaking to Hindustan Times, Group chairman DS Kulkarni said that while one plot has been sold to the Nyati Group for ₹40 crore another deal has been struck with Xrbia. These transactions are besides the prime plot in Bavdhan (DSK Toyota showroom) that the developer has put up for sale.

pune Updated: Nov 09, 2017 15:33 IST
HT Correspondent
DSK Group chairman DS Kulkarni.
DSK Group chairman DS Kulkarni.(HT PHOTO)

There was no relief in sight for the nearly 8,000 Fixed Deposit (FD) holders of the crisis-ridden DS Kulkarni (DSK) Group, even as the company reported sale of two land parcels to other developers for ₹120 crore.

Speaking to Hindustan Times, Group chairman DS Kulkarni said that while one plot has been sold to the Nyati Group for ₹40 crore another deal has been struck with Xrbia. These transactions are besides the prime plot in Bavdhan (DSK Toyota showroom) that the developer has put up for sale.

Over the last few months, DSK Group depositors, mostly senior citizens, have been demanding repayment of dues from the company. While the group has repeatedly defaulted on payment of interest and payments towards withdrawal of FDs, the company said that its outstandings amount to ₹480 crore including ₹111 crore to NCD holders, ₹44 crore to FD holders and rest as bank outstanding. Independent real estate watchers told HT that the dues are much higher and the proceeds from the latest sale has gone to banks towards repayment of outstanding loans.

The eight lakh square feet plot sold to Nyati Group is located at Sinhagad Vishwa township and another plot is located at Balewadi near Hinjewadi IT Park. “We haven’t closed the deal with Xrbia yet as there are some bank NOCs required,” Kulkarni said.

Amidst the raging financial crisis, DSK Developers Limited recently made some key changes such as appointment of Shirish Kulkarni as managing director and chief executive officer, after his father, DS Kulkarni, stepped down from the post. The firm also appointed Shashank B Mukherjee as director on the board.

The firm, which has on three occasions failed to pay debenture dues, had informed the Bombay Stock Exchange about changes in the management of the company in view of its financial restructuring plan.

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