On the BSE, the stock of the company fell 4.73 per cent to its lower circuit limit of Rs 3.02, which was also its 52-week low.
Economic Offences Wing of the Mumbai Police arrested the tow directors at HDIL, Rakesh Wadhawan and Sarang Wadhawan on Thursday.
DHFL does not have any exposure to either of them, DHFL said in a regulatory filing.
The admission came in after a board member leaked the actual balancesheet details to the RBI, said a source.
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