Mumbai, November 25
A number of corporate houses including some blue-chip companies listed on the stock exchanges are under CBI scrutiny in the bribe-for-housing loan scandal which broke yesterday.

The focus of the probe is on the realty companies that are clients of the alleged conduit in the scam Money Matters Financial Services Ltd (MMFSL). Some other firms too could face the heat from the investigating agency, sources say.

MMFSL’s client list includes several companies from the Tata, Anil Ambani, Adani, Aditya Birla and other groups.

However, loans arranged by it for a number of second-rung companies and real estate players from public sector companies have come under more scanner, sources say.

MMFSL is alleged to have syndicated a Rs 200-crore loan for DB Realty, sanctioned by LIC Housing Finance. It also brokered a property transaction between Hindustan Construction Company and a private equity fund.

MMFSL’s dealings with Emaar MGF and some big Mumbai-based real estate companies are also under investigation.

The source of funds of some of these companies which bought mill land in Central Mumbai at inflated prices is also being probed,sources say.

LIC finance arm to get new chief

Mumbai, November 25

LIC chairman T S Vijayan today said a new CEO for its troubled arm LIC Housing Finance will be in place in the next few days, following the incumbent CEO Ramachandran Nair's arrest in multi-crore loan scam yesterday.

"Our first priority is to support LIC HFC at this point of time. Towards this we have appointed the senior most general manager Chandrashehakar as the acting CEO. The process of appointing a new CEO is on", Vijayan told newsmen here. — PTI

n Edit: Bribes for loans