Economic Offences Wing investigates complaint by Juhu businessman; alleged misuse of loan funds, failed returns, and personal guarantees in question
Mumbai’s business and celebrity circles were shaken this week after actor Shilpa Shetty and her husband Raj Kundra were booked by the city’s Economic Offences Wing (EOW) for allegedly cheating a Juhu-based businessman of Rs. 60.48 crore. The high-profile complaint, now under investigation, has brought a fresh spotlight onto Bollywood’s occasional overlap with big-money business deals—and the potential risks they carry.
The complainant, Deepak Kothari, director of Lotus Capital Financial Services Limited—a non-banking financial company—alleges that his repeated efforts to recover funds advanced to the Kundras were met with delays and evasions, ultimately leading to suspicions the money was being used for personal benefit rather than the promised business growth.
According to the FIR, the dispute traces back to 2015, when loan agent Rajesh Arya introduced Kothari to Raj Kundra and Shilpa Shetty at a luxury Juhu hotel. There, the couple represented themselves as directors of Best Deal TV Pvt Ltd, an ambitious home shopping and online retail platform. At the time, Shetty reportedly owned over 87 per cent of the company’s shares, strengthening its high-profile image.
The Kundras allegedly requested a loan of Rs 75 crore, agreeing to pay 12 per cent interest. However, in a twist, the complainant says he was convinced to route his money as an “investment” rather than a straightforward loan, with the goal of saving taxes but retaining monthly returns and principal repayment guarantees. Kothari transferred two major tranches: Rs 31.95 crore in April 2015 under a share subscription agreement, and another Rs 28.53 crore in September 2015 under a supplementary deal. The company paid stamp duty, and all funds were deposited in Best Deal TV’s HDFC Bank accounts, as per the FIR.
Trouble began brewing in September 2016, when Kothari received an email from Shetty stating she had resigned as director from Best Deal TV. When pressed for reasons, Shetty allegedly avoided direct answers. Soon after, Kothari learned insolvency proceedings had begun against the company in 2017, tied to defaulted financial commitments. Feeling sidelined and misled, the businessman sought answers about his investments and guarantees.
When his efforts failed, Kothari approached the Juhu Police Station, leading to an FIR officially registered under various sections of the law including dishonest misappropriation of property, criminal breach of trust, and common intention. Given the scale of the alleged fraud—over Rs 60 crore—the investigation was swiftly transferred to Mumbai Police’s Economic Offences Wing, which specializes in complex financial crimes.
EOW detectives are now working to trace the money trail, reviewing documents, communications, and business agreements. Authorities are examining whether funds were diverted from agreed business purposes, why repayments failed, and what responsibility each party bears in the alleged conspiracy.
No arrests have been made as of publication, and the case’s outcome may depend on investigators’ ability to unpack years-old deals, digital evidence, and company records. For many in Mumbai’s investment community, the case is a stark warning about due diligence, personal guarantees, and the risks of high-profile collaborations.
This episode—mixing Bollywood glamour with business risk—reminds industry insiders and everyday investors alike that clear agreements and transparent accounting remain the best safeguards, regardless of the parties involved. The investigation continues.