Lookout Circular Issued Against Shilpa Shetty and Raj Kundra in ₹60 Crore Fraud Case
Mumbai Police's Economic Offences Wing has issued a lookout circular against actress Shilpa Shetty and her husband, Raj Kundra, to prevent them from leaving the country. The action is linked to an ongoing investigation into a fraud case where a businessman alleges the couple duped him of approximately ₹60 crore through a business investment deal. The couple's legal team has denied the allegations, stating the transaction was a legitimate equity investment in a company that later faced financial difficulties.
Unpacked:
The complainant is Deepak Kothari, director of Lotus Capital Finance Services, a non-banking financial company (NBFC). He claims he was approached for a loan-cum-investment in Best Deal TV, a company linked to Shilpa Shetty and Raj Kundra, and later accused the couple of misusing the funds for personal expenses.
A Lookout Circular (LOC) is an alert issued to immigration and border control to prevent individuals from leaving the country or to track their movements. Mumbai Police issued the LOC against Shetty and Kundra due to concerns they might leave India amid the ongoing investigation into the alleged ₹60 crore fraud.
The businessman alleges that between 2015 and 2023, Shetty and Kundra took around ₹60 crore from him under the pretext of expanding their business but instead diverted the funds for personal use. The transaction was initially structured as a loan with 12% interest, but later reclassified as an investment, allegedly for tax benefits.
Yes, Raj Kundra was previously arrested in 2021 in connection with an adult content case and later granted bail. He is also reportedly facing a separate money laundering probe. Additionally, earlier this year, another complaint accused the couple of defrauding an investor in a gold scheme.