Shilpa Shetty, Raj Kundra booked for ₹60 crore fraud; Mumbai businessman alleges ‘personal misuse’ of funds

The Mumbai Police’s Economic Offences Wing (EOW) has booked actor Shilpa Shetty Kundra and her businessman husband Raj Kundra for allegedly cheating a Juhu-based financier of ₹60.48 crore in what investigators describe as a high-value corporate fraud.

The complainant, Deepak Kothari — director of Lotus Capital Financial Services Ltd, a non-banking financial company — alleges that the celebrity couple sought a ₹75 crore business loan in 2015 for their now-defunct home shopping and online retail platform, Best Deal TV Pvt Ltd. At the time, Shetty reportedly held an 87.61% stake in the firm.

Kothari told police that the approach was brokered by a former loan agent, Rajesh Arya, who claimed personal ties with the couple. A meeting at a five-star hotel in Juhu followed, where Kundra and Shetty allegedly convinced him to route the funds as an “investment” — rather than a loan — to avoid higher taxation. They promised regular returns and full repayment of the principal.

According to the FIR, Kothari transferred ₹31.95 crore in April 2015 under a share subscription agreement and another ₹28.53 crore that September via a supplementary deal. The money, credited to Best Deal TV’s HDFC Bank accounts, was backed by a personal guarantee from the couple.

However, in September 2016, Kothari received an email from Shetty’s official account announcing her resignation as company director. She allegedly evaded explanations. The financier later discovered that insolvency proceedings had been initiated against the firm in 2017 over another default.

Repeated attempts to recover the money were met with delays, which the couple reportedly blamed on the pandemic. Kothari now alleges the funds were diverted for personal benefit.

Based on his complaint, the Juhu Police registered an FIR under IPC sections 403 (dishonest misappropriation of property), 406 (criminal breach of trust), and 34 (common intention). The EOW took over the probe given the transaction’s scale and is currently tracing the money trail and examining the role of each accused.