Mumbai, Aug 5 (IANS): The Edelweiss Asset Reconstruction Company on Saturday said it is ‘deeply saddened’ by the demise of ace Art Director Nitin Chandrakant Desai under tragic circumstances, here on Saturday.

In a statement, the Edelweiss ARC said that it had extended financial assistance to Desai’s company in 2016-2018 for setting up a theme park and working capital.

Desai’s company has encountered financial difficulties since 2020 and various attempts to improve its financial situation did not bear fruit.

The company was eventually referred to NCLT in 2022 and admitted by the NCLT, Mumbai in July 2023.

“Edelweiss ARC followed all legal processes as mandated by RBI and has not acted in any manner outside of the legal framework. Neither was the interest rate charged excessive nor was there at any time undue pressure being put on the borrower for recovery,” said the statement by Company Secretary Tarun Khurana to the BSE.

The statement said that “the company followed its own detailed procedures through established legal channels at great expense and time to us”.

“We respect the need for the authorities to inquire into such tragic events and will cooperate fully with the enquiry process. We are confident that they will also conclude that we have acted lawfully,” said the statement.

The communication is the first reaction from Edelweiss group after Desai committed suicide at his N. D. Art World Pvt Ltd studio in Khalapur, Raigad on August 2.

It comes a day after Desai’s widow, Neha N. Desai filed a complaint alleging ‘harassment’ by Edelweiss on the loan recovery of around Rs 252-crore, which drove him to end his life.

After the complaint, the Raigad Police filed an FIR against Edelweiss and five of its officials and is probing the case further.

Following a massive furore in entertainment and political circles, Deputy Chief Minister Devendra Fadnavis on Thursday announced that it would investigate the loans and lenders while Deputy CM Ajit Pawar had warned on Friday against any political meddling into the probe.

“Desai’s death is a big loss to the Indian film industry and the art world that no words can express. We pray for his soul and offer our heartfelt condolences to his family and the staff of ND Arts,” said Edelweiss’ statement on Saturday.

Desai's funeral was completed in his studio complex on Friday evening in the presence of several Bollywood and Marathi film personalities and political leaders.