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Singh bros deliberately imperiled Religare Finvest to siphon off money

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Ranbaxy Shivinder Singh

New Delhi, Oct 19 : Singh Brothers — Malvinder Mohan Singh (MMS) and Shivinder Mohan Singh (SMS) — were the lynchpins in the Rs 3,000 crore Religare Group fraud.

The FIR in possession of IANS describes the modus operandi of how the money was siphoned off.

The construct was as follows: The same company was funded with equal or higher amount on the day payment was received from it towards previous dues. In some cases, it appears that ledger entries were done on the earlier dates, but repayments were received on the same day or in a time span of 1-2 days when the same or some other companies were funded.

So, the whole thing assumed a rolling sort of plan, where money came from dues and then repaid elsewhere. It was a calibrated plan which though cut to cut worked like clockwork. Such was the level of chicanery that the two brothers, along with CEO Sunil Godhwani, practised that they deliberately imperiled Religare Finvest so that the money siphoning operation ran without interference.

Here is the architecture: For instance, on June 17, 2009, Rs 34 crore was received in total from Blue Line Finance, GYS Real Estate, Ligare Aviation, Ligare Voyage, Linear Commercial and Sharan Hospitality and on the very same day, Rs 54 crore was funded to Dion Global, Religare Technova Business Intellect and Religare Technova IT Services.

On August 17, 2009, Rs 200 crore was funded and repayment of Rs 100 crore was received from Religare Financial Consultancy. On March 30, 2010, Rs 36 crore was extended to nine companies and on the same day, repayment of Rs 32 crore was received from six other companies except Ligare Aviation from which repayment of Rs 13 crore was received and to which Rs 14 crore was extended on the same day.

On January 31, 2011, repayment of Rs 175 crore was received from Adept Creation, Leon Realtors, SVIIT Softwares and Vectra Pharmaceuticals and on the very next day, i.e. on February 1, 2011, Rs 174 crore was extended to Ligare Aviation, Oscar Investments, Religare Comtrade, RHDFC and RWL Health World.

A copy of the internal report based on inquiries by Religare Finvest, the complainant company, shows the firm’s exposure on account of the Corporate Loan Book (CLB) to the above mentioned related/friendly borrower entities is to the tune of Rs 2,397 crores.

While the aforesaid transactions had been taking place for sometime by way of round-tripping of funds, the loans were purportedly serviced. However, it appears that when the promoters realised that they would lose control over REL and its subsidiaries (including the complainant company), they caused the complainant company to extend loans, but then willfully defaulted on these loans.

Due to the various defaults on account of the CLB, RFL initiated legal proceedings under the Insolvency and Bankruptcy Code, 2016, against these entities in the NCLT. Before the NCLT, seven of the said borrower companies, which had been extended loans under the CLB, filed replies on solemn affirmation which shockingly is an admission of financial fraud, cheating, criminal breach of trust, money laundering, conspiracy and abetment in respect of the subject unpaid unsecured loans/CLB transactions.

While these entities have intentionally tried to give vague replies, it is clear from all their replies that they knowingly were part of a criminal conspiracy to siphon away funds to the tune of hundreds of crores from the complainant company.

It is believed by the complainant company (on the basis of internal inquiries) that five of these entities — A&A Capital Services Limited (A&A), Shri Dham Distributor Pvt Ltd (earlier known as Abhiruchi Distributors Pvt Ltd), Annies Apparel Pvt Ltd (Annies), Gurudev Financial Services Pvt Ltd (Gurudev), and Tara Alloys Limited (Tara) — are related to and controlled by N.K. Ghoshal, the stockbroker of MMS and SMS.

The following submissions have been made by the aforesaid N.K. Ghoshal controlled entities before the NCLT: A&A Capital Services Pvt Ltd. A&A was used as a medium to transfer monies and was promised a fee for facilitating the transaction. It was an agreed understanding that the transaction money will not be demanded back. It is for the same reason that loans worth several crores were advanced to entities with authorised capital of Rs 5,50,00,000 and paid up capital of Rs 5,49,95,000 without any diligence, security, documentation or security and merely on the basis of a one pager document purportedly called as Memorandum of Understanding. S

Substantial sums were transferred to three entities, i.e., Vitobha Realtors Private Limited (Votobha), Devera Developers Private Limited (Devera) and Best Health Management Pvt Limited (Best), which are entities eventually controlled by SMS and MMS and they act as the alter egos of these companies.

It is evident from the above that A&A admits receipt of money; it admits that since the inception of the transaction, the intention was not to repay the loan to RFL, and conspiracy to divert the loan to third parties which allegedly used the monies to repay their loans to RFL.

As planned in the conspiracy, the loan advanced to A&A was never repaid, and it appears from A&A’s reply that it colluded with entities like Artfice, Best, Vitobha and Devera to siphon away money from RFL, with the intention of never to repay the said unsecured loan and thereby causing a wrongful loss to RFL, which has been deceived and cheated by the directors/persons controlling A&A (which in addition to its directors at the relevant time is believed to be N.K. Ghoshal) and allegedly by and in collusion with persons controlling Artifice, Best, Vitobha and Devera (which in addition to their directors are believed to be SMS and MMS) and persons in control of the management and affairs of RFL, including the erstwhile promoters.

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Clive Owen to play Bill Clinton in ‘Impeachment: American Crime Story’

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Clive Owen on Bill Clinton

Los Angeles, Nov 16 : Oscar-nominated actor Clive Owen will star as Bill Clinton in “Impeachment: American Crime Story”, the third season of the network FXs award-winning limited series franchise, which centers on the sex scandal that rocked the Clinton presidency.

Owen joins Sarah Paulson, who will play Linda Tripp, Beanie Feldstein, who will play Monica Lewinsky, and Annaleigh Ashford, who will play Paula Jones in the limited series, reports aceshowbiz.com.

The role of Hillary Clinton is currently being cast.

“Impeachment…” is written by Sarah Burgess who executive produces alongside returning ACS team Ryan Murphy, Nina Jacobson, Brad Simpson, Brad Falchuk, Larry Karaszewski, Scott Alexander, Alexis Martin Woodall and Paulson. Feldstein, Henrietta Conrad and Jemima Khan are also producing.

The limited series is based on Jeffrey Toobin’s bestselling book “A Vast Conspiracy: The Real Story of the Sex Scandal That Nearly Brought Down a President”. Toobin’s 1997 book The Run of His Life: The People v. O. J. Simpson served as the source material for Season 1 of American Crime Story.

Filming on “Impeachment” is set to begin in late March. The limited series is currently slated to premiere on Sunday, September 27, 2020, about a month out from the next US Presidential election, but Murphy recently indicated the date may be in flux as the filming schedule has changed.

Owen’s casting comes in the midst of the impeachment hearing against President Donald Trump. Despite the confluence of events, the current impeachment proceedings are not influencing “Impeachment: ACS”, which chronicles events from two decades ago.

Owen received an Oscar nomination for “Closer” and was most recently seen in “Gemini Man”. On TV, he headlined “The Knick” and will also star opposite Julianne Moore in the limited series “Lisey’s Story”.

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Maharashtra: BJP-Sena split unites a divided Congress-NCP

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Sonia and Udhav Thackeray

Mumbai, Nov 14 : Congress Interim President Sonia Gandhi is said to be a happy woman, smiling and grinning from ear-to-ear over the latest political developments in Maharashtra.

The unexpected split in Bharatiya Janata Party and Shiv Sena has come as a boon to the Maharashtra Congress and its ally, Sharad Pawar-led Nationalist Congress Party, party sources reveal.

It’s well-known that the state Congress has always been a big divided house since years, and also harboured huge differences with its 20-year old ally, the NCP.

Since 1999 to 2014, the Congressmen were either engaged in an in-house crabby battle to pull down each other and simultaneously the NCP, as the latter always seemed to have a political edge, and unwittingly giving a political advantage to the rivals.

Even as late as October, the party-men and party-women were engaged in bitter political skirmishes at all levels, including the powerful Mumbai Congress, which dented its image and with serious repercussions at the hustings both in Lok Sabha and assembly election results.

After the October assembly poll results were announced, the Congress came trumps with 44 seats and NCP with 54 – against 42 and 41 in 2014 respectively – boosting their morale though they were miles away from forming a viable government.

Shortly afterwards, the political landscape changed dramatically with the Shiv Sena splitting from the BJP and the ruling NDA at the centre, and extending a clawy paw to the bewildered Congress-NCP.

As the ‘clock’ ticked away, the two opposition parties were naturally reluctant to extend their ‘hand’ of friendship to a party which was not only harshly critical but downright abusive for nearly 53 years, spanning the eras of Indira Gandhi, Rajiv Gandhi, Narasimha Rao and Manmohan Singh, besides Sonia Gandhi and Rahul Gandhi.

After Sena President Uddhav Thackeray climbed down his pedestal and called Sonia Gandhi for support, shooed away an alleged BJP emissary and Hindutva leader Sambhaji Bhide Guruji, withdrew his sole minister Arvind Sawant from the union cabinet, his intentions became clear.

As the seriousness of the situation unfolded, the Congress-NCP got into the act, presenting an unprecedented picture of unity and camaraderie, and initiated the process of raising a potential tri-partite government with the Sena as the lead partner.

A party leader said Sonia Gandhi was occasionally both amused and bemused to see her warring tribe assuring her in practically one voice that an alliance with the long-perceived enemy Shiv Sena was worth a political gamble to keep BJP at bay.

Though she raised an eyebrow of doubt, the Congress earnestly got down to business, and practically adopted Sharad Pawar as the Mandrake who could perform the unbelievable magic of giving Maharashtra a “MahaShivAghadi” alliance of Congress-NCP-Shiv Sena – in the coming days.

Adopting a magnanimous approach, the 79-year old Pawar also reciprocated by never displaying the NCP’s overzealousness in the government formation, keeping the Congress sentiments ahead of his own.

In fact, soon after the election results, Sonia Gandhi had warmly received and congratulated Pawar at her home in New Delhi for almost single-handedly dragging both the allies out of the political muck, when the BJP-Sena squabble over the power-sharing was just breaking out.

The past few days have seen the recently-divorced Sena being grudgingly accepted by Congress-NCP as a potential key ally, many of their leaders visiting the ailing Sena MP Sanjay Raut – the man who set the ball rolling against the BJP – convalescing in hospital, and displayed other gestures of goodwill.

A cheerful Thackeray – who has undergone a change of wardrobe from his awesome collection of ‘kurta-pyjamas’ to formal shirts-trousers – is seen hopping from one tiresome meeting to another with his newfound future saviours, and hopes to re-establish the Sena’s position as the once-dreaded ‘Big Brother’ in state politics.

After all, it has dawned on him that finally, the time has come for a ‘son-rise’ even in the Thackeray family!

(Quaid Najmi can be contacted at: [email protected])

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Token seat not accepted this time: Chirag Paswan

The LJP is a part of the BJP-led NDA government at the Centre.

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Chirag Paswan

New Delhi, Nov 13 : The Lok Janshakti Party, which is ready to contest the Assembly elections in Jharkhand alone on 50 seats, has made it clear that it doesn’t want to contest polls on a token seat.

The party has gone its own way from the National Democratic Alliance (NDA) and has announced that it will contest alone on 50 out of the 81 seats.

The LJP’s national President and son of Union Minister Ram Vilas Paswan, Chirag Paswan told IANS on Wednesday: “Last time (previous Assembly elections) the Bharatiya Janata Party allowed the LJP to contest on just one seat. But this time the LJP has made it clear that we won’t contest on any token seat. We will contest the election only on the seat where our party has a public base”.

Junior Paswan who took over the party reigns earlier this month said: “Last time we were given the Shikaripada seat where we did not have any candidate also. If the BJP does it again, we are not ready”.

The LJP is a part of the BJP-led NDA government at the Centre.

He said the LJP has strengthened in the state in the recent past and the party’s state unit wanted to go solo in the Assembly elections. Still, we demanded six seats from the BJP but the efforts went in vain.

Chirag said: “I made an honest effort by contacting the BJP’s central leadership and demanded six seats to contest. But we could not get their consent. Therefore, the LJP has decided to contest this election alone”.

However, he made it clear that even if the LJP wins any seat in the election, it will support the NDA. “We are with the NDA at the Centre and state as well,” he said.

Replying to a query about the impact of the LJP’s decision to go solo in the election, he said it won’t affect the alliance.

“If some opposition parties are happy that they (BJP and LJP) lack coordination in Jharkhand and Shiv Sena has gone its own way in Maharashtra, they should not be overwhelmed,” said Paswan.

He said we had no alliance in Jharkhand, our pact is based on Bihar. We entered into an alliance in Bihar under which we contest the Lok Sabha and Assembly elections there together.

Chirag added that the BJP, LJP and the Janata Dal (United) would contest the 2020 Bihar Assembly elections together.

We will win more than 225 seats in the Assembly elections in Bihar like we won 39 out of 40 seats during the Lok Sabha elections. Chief Minister (Nitish Kumar) will retain power, he said.

The LJP chief said that the party will contest the upcoming Delhi Assembly elections alone.

Asked about the imposition of President’s Rule in Maharashtra and the break-up between the BJP and the Shiv Sena, he said: “People of Maharashtra have given a clear mandate to the NDA. People wanted to form a government under NDA but the decisions from parties and their political aspirations took things to President’s Rule. It’s unfortunate”.

The LJP has announced the candidates for 10 seats in Jharkhand. The state will go to the polls in five phases between November 30 and December 20 while counting is scheduled for December 23.

(P.K. Jha can be contacted at [email protected])

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