Shilpa Shetty Raj Kundra Case: Latest Updates
The Mumbai Police Economic Offence Wing (EOW) has filed a case against Bollywood actor Shilpa Shetty Kundra and her husband Raj Kundra. It was for alleged misappropriation and cheating against Juhu businessman, Rs 60.48 crore. This whole development has generated enough public interest to warrant another sensational twist in the world of celebrity legal battles.
Drop of Complaint by Juhu Businessman, Deepak Kothari
In the complainant’s statement, Deepak Kothari, director of Lotus Capital Financial Services Limited – a non-banking financial company that lends money. He says they would not repay a loan he had provided to them since 2015. He had a middleman involved in the transaction. Kothari stated the couple kept on delaying repayment for more than three years. As he continued to remind them, and repayment was delayed due to COVID-19.
Not only did Kothari acknowledge the couple diverted the money to their own pocket instead of proper business-related purposes. This is where he was duped. Kothari also stated the funds were provided in good faith.
Route of investment and loan
The FIR states that Kothari’s former loan agent, Rajesh Arya, told him he knew Shilpa Shetty personally and Raj Kundra. They were looking to borrow a high value loan as they were able to personally guarantee the return of the loan amount on a timely basis. They arranged to meet at a five-star hotel in Juhu to discuss the both parties understanding of the agreement.
The duo purportedly identified themselves to Kothari as an executives of Best Deal TV Pvt Ltd. It is a dormant home shopping and online retail company which at the time, had Shilpa Shetty as a 87.61% stakeholder. They requested a loan of ₹75 crores with a 12% interest rate.
The FIR alleges that the duo were able to convince Kothari to send the funds referring to it as an “investment”(in order to avoid incurring any higher tax). The couple guaranteed that Kothari would receive monthly income in addition to the principal.
Funds Transfers and Alleged Misuse
Trusting the assurances made by the duo, Kothari sent ₹31.95 crores to Best Deal TV in April 2015 through a share subscription agreement. He sent ₹28.53 crores in September 2015 under a supplementary agreement. Both amounts were deposited into the Best Deal TV’s HDFC Bank accounts. A stamp duty of ₹3.19 Lakh was also paid by the couple.
Although there was a personal guarantee, Kothari later received an email from Shilpa Shetty’s email address. It stated that she had resigned as a director in September 2016. When Kothari followed up, she allegedly avoided answering directly.
Insolvency Proceedings and FIR
Kothari’s further investigation revealed that insolvency proceedings were opened against Best Deal TV in 2017 due to defaults related to a different contract. He later visited the Juhu Police Station to file a complaint.
An FIR was filed against Raj Kundra and Shilpa Shetty Kundra under Sections 403 (dishonest misappropriation of property), 406 (criminal breach of trust), and 34 (common intention) of the IPC.
Since the amount was so large- over ₹10 crore- the case was handed to the Economic Offences Wing. This is now continuing to follow the money and assess the culpability of the various suspects in this alleged conspiracy.
Bollywood Updates Recent: Legal Problems in the Spotlight
This case has become a big story in the Bollywood news latest. It is not only because of the key players but also because of the scale of the alleged fraud. Shilpa Shetty and Raj Kundra are well-known figures who have previously attracted attention for their business ventures and controversies.
The EOW investigation will end with a conclusion, but the issue has prompted further discussion about the ethics of celebrities in business, financial transactions, and the reliance of investors on these high-risk transactions.
