Archive · 18 Jul 2025
Viceroy Report Alleges Vedanta Financial Irregularities
A company called Vedanta is accused of moving money around in a way that might not be allowed.
A report says Vedanta used a part of its business, VSPL, to get a loan.
They used some shares of another company, Hindustan Zinc, to back up the loan.
The report claims VSPL was not really making semiconductors, as it claimed to be.
Vedanta says they followed all the rules and that everything was done correctly.
Viceroy Research alleged Vedanta routed a Rs 2,500 crore loan through Vedanta Semiconductors.
The loan was used to manage internal liquidity while avoiding regulatory scrutiny.
VSPL allegedly raised funds offshore, backed by a 1% stake in Hindustan Zinc.
Viceroy claims VSPL engaged in paper-based commodity trading with minimal margins.
Vedanta denies the allegations, asserting all activities are transparent and compliant.
- Who
- Viceroy Research, Vedanta, and Vedanta Semiconductors (VSPL).
- What
- Viceroy Research alleged improper financial dealings by Vedanta Semiconductors.
- When
- The report was released on July 18.
- Where
- Not explicitly mentioned.
- Why
- To manage internal liquidity and possibly avoid regulatory scrutiny, according to the report.
Viceroy Research Allegations
Vedanta's Response
Loan Practices
Viceroy Research Allegations
Vedanta Semiconductors was used to route a loan for liquidity.
Vedanta's Response
Vedanta denies the allegations. All business activities were transparent and compliant.
Business Activities
Viceroy Research Allegations
VSPL engaged in paper-based commodity trading.
Vedanta's Response
Vedanta denies the allegations.
- Report Author
- Viceroy Research
- Alleged Loan Amount
- Rs 2,500 crore
- Loan Recipient
- Vedanta
- Subsidiary Involved
- Vedanta Semiconductors (VSPL)
- Collateral
- 1% stake in Hindustan Zinc (HZL)
- Vedanta's Response
- Denies allegations and asserts regulatory compliance
Sources
Hindustan Zinc Q1 Results: Profit drops by 4.73% to Rs 2,234 crore, misses estimates – A Viceroy impact?
Hindustan Zinc Q1 Results: Topline misses estimates but margin holds firm
Hindustan Zinc Q1 Results: Net profit down 5% y-o-y to ₹2234 cr
