Dewan Housing Shares Jump 6% After Company Announces Management Reorganisation

DHFL share price (Dewan Housing Finance Corp Limited) rose as much as 6 per cent on Monday. DHFL share price started the session at Rs 137.80 apiece on the BSE (Bombay Stock Exchange), and rose to as much as Rs 139.90 in intraday trade during the session. The advances in DHFL shares came after the company announced reorganisation in its top management. On the National Stock Exchange, the DHFL share price rose as much as 5.90 per cent to an intraday high of Rs 140.00 apiece by afternoon. 

Dewan Housing Finance (DHFL) said, in a regulatory filing on Saturday, its chief financial officer Santosh Sharma was redesignated to another role with effect from the same day. Mr Sharma will stay on as head-corporate strategy, the company said.

The accounts and finance function of the company, which was at the time supervised by the chief financial officer, would now be supervised by vice president-finance and vice president-accounts respectively, DHFL added.

The management shuffle comes a month after chief executive Harshil Mehta resigned amid financial mismanagement allegations. 

The company also said its company secretary and compliance officer Niti Arya resigned with effect from March 15, 2019. The home loan provider also said it designated senior chief manager-secretarial Naveen Manghani as assistant company secretary. 

An auditor had earlier this month dismissed media allegations that DHFL had created shell companies to divert funds, but said the firm's monitoring of loans was inadequate, raising risks that some of them would turn sour.

At 1:02 pm, DHFL share price was 3.37 per cent higher at Rs 136.45 on the BSE, and 3.18 per cent higher at Rs 136.40 apiece on the NSE.

(With inputs from Reuters)