India Infoline Ltd., an Indian brokerage, advised Money Matters Financial Services Ltd. for a sale of shares to large investors this year and hasn’t used the securities firm for debt syndication or lending money.
“We did our due diligence but you cannot do an investigation,” India Infoline’s Chairman Nirmal Jain said in a phone interview from his office in Mumbai today. “As an investment banker, we did our job.”
Rajesh Sharma, chairman of Mumbai-based Money Matters, was among eight people arrested by India’s federal investigating agency yesterday following a probe into bribes and improper loan disbursals.
India Infoline shares sank 15 percent, the most in 19 months, to 91.3 rupees as of the 3:30 p.m. close in Mumbai. Money Matters fell 20 percent for the second day to 427.05 rupees.