New Delhi: The Finance Ministry on Monday told Parliament that five state-run general insurance companies have a total exposure of Rs 347.64 crore, or 0.14 per cent of their total assets under management (AUM), in Adani Group of companies, PTI reported.
Minister of State for Finance Bhagwat Karad revealed the data while repling to a question on details of money lent by banks and financial institutions to the Adani Group, whose stocks have taken a beating since US short-seller Hindenburg Research accused it of stock manipulation and accounting fraud.
The Adani Group has denied any wrongdoing and has threatened to sue Hindenburg.
In the Lok Sabha, Karad said the RBI Act prohibits disclosure of credit information submitted by a bank. On the exposure by insurance companies, the minister said the Life Insurance Corporation of India’s total holding under equity and debt was Rs 35,917.31 crore as on December 31, 2022, in Adani Group of companies, PTI reported.
The exposure in the Adani group is 0.975 per cent of LIC’s total AUM at book value of Rs 41.66 lakh crore.
“As per data received from Public Sector General Insurance companies, namely New India Assurance Company Ltd, United India Insurance Company Ltd, National Insurance Company Ltd, Oriental Insurance Company Ltd, and General Insurance Corporation of India, total exposure in Adani Group of Companies as on January 31, 2023 is Rs 347.64 crore which is 0.14 percent of the total AUM of all the five companies,” Karad further said.
