Geojit Credits says funded client exposure of over Rs 130 cr to NSEL

Company says it funded client exposure of over Rs130 crore to NSEL

Geojit Credits (P) Ltd, a non-banking financial company in which Geojit BNP Paribas has majority stake, has funding exposure of Rs 133.2 crore to client trades on the scam-hit National Spot Exchange Ltd.

The company funded this mostly through loans from group companies, according to a note it released on the exchange website. It added Geojit BNP Paribas had a consolidated net worth of Rs 485.7 crore as of the end of June.

“Geojit BNP Paribas Financial Services Ltd has informed…that Geojit Credits (P) Limited… in which Geojit BNP Paribas has 65% stake, has an outstanding exposure of Rs 133.22 Crores by way of collateralized loans to clients against assignment of their commodity trade receivables from National Spot Exchange Ltd (NSEL) as on date, of which Rs 103.77 Crores is funded by way of loans from group Companies,” said the notification.

It added that Geojit BNP Paribas has a consolidated net worth of Rs 485.69 crore as on the end of June.

“The Company is making its best efforts to recover the outstanding dues,” it added.

Earlier, the Motilal Oswal group had made a formal disclosure that it had had only funded Rs1.4 crore of its  Rs253.92 exposure to NSEL. However, other exposure included Rs195.24 crore through its clients which is not funded by the group and Rs57.28 crore through proprietary exposure.