Most firms, including BGR Energy and Oberoi Realty denied any role in the scam. The scam was discovered shortly after the
2010 Commonwealth Games corruption controversy and the
Adarsh Housing Society Mumbai scam. The investors were rattled as news of the arrests broke in Mumbai. The share of the LIC Housing Finance, Central Bank of India, Punjab National Bank, Bank of India as well as other banking and real-estate stock declined. The Union finance ministry initially claimed that the case was a bribery incident, and not a large-scale scam. The CBI officials had indicated that the size of the scandal could be worth over Rs 1,000 crore, but the finance ministry officials claimed that the magnitude of the scandal was too insignificant to affect the Indian financial sector. The income-tax (IT) department decided to investigate the books of those involved in the scam, after receiving primary reports from CBI.{{cite news | url = http://www.hindustantimes.com/Now-IT-to-investigate-the-home-loan-scam/Article1-631387.aspx | title = Now, IT to investigate the home loan scam | author = Debobrat Ghose | publisher =
Hindustan Times | date = 26 November 2010 | accessdate = 2010-11-28 However, many political analysts believe innocent bankers were implicated in this falsely created scam to defuse attention of the common man against the much larger and serious scams done by the ruling Indian government, notably of corrupt politicians like CWG minister
Suresh Kalmadi and ex-telecom minister A Raja. ==See also==