New Delhi: “LIC and SBI have invested and provided credit to Adani Group within their limits,” Union Finance Minister Nirmala Sitharaman said yesterday. This is the first time that the Union Finance Minister has expressed his opinion regarding the Hindenburg-Adani scandal.
Earlier, LIC Managing Director Siddhartha Mohanty had said, “Our investment in the Adani Group is limited.” Likewise, SBI Chairman Dinesh Kumar Kara says, “We have given a loan of Rs 21,000 crore to the Adani Group. This is 0.9 percent of SBI’s total debt. Loan repayments are continuously monitored. So, there is no need to worry about this,” he said.
Nirmala Sitharaman commented on the issue after these two companies gave an explanation. “LIC and SBI say they have given investment and loan to Adani Group within their limits. “Despite the fall in their stock value, the companies have reported that they are still profitable,” he said.
When asked whether LIC and SBI will be affected by Adani’s stock decline, Union Finance Secretary D V Somanathan said, “Investing by a nationalized bank or an insurance company in Adani group companies is not a matter of concern for investors and policyholders. In that way, SBI and LIC do not need to worry about any company they invest in.” He said.
LIC and SBI say they have provided investment and loans to the Adani Group within their limits.