Mumbai: An MD of a denim manufacturing firm and his two accomplices have been booked by the Vanrai police for allegedly cheating a reputed motor company of Rs 4 crore by accepting the amount as investment, but giving no returns.
According to the police, the accused trio are Prabhakar Shetty, the MD of Al-Rkayan Apparels and Exports Pvt Ltd, Mohammed Ismail Abubakar, the firm’s executive director and Mohammed Farooq Hamid, chairman of another private group.
The complainant, a Kerala resident, who works as the chief operating officer and country head of the motor company in India, told the police the accused trio knew his company’s chairman, who was operating from Saudi Arabia. A few years ago, the three accused visited him in the Gulf.
“The motor firm where the complainant is currently employed is in Saudi Arabia. The accused, Shetty, Abubakar and Hamid met the chairman and told him their company was expanding business. They sought investment from the motor company.
They said after receiving the investment, the business will yield huge profits and enter international markets. After frequent requests, vice president of the motor company visited Shetty’s office at Cama Industrial Estate in Goregaon East in 2015,” said a police officer.
Police said the trio showed the VP documents about their company’s progress and how they worked as per latest fashion trends. They also tried to seek investment by showing available raw materials, efficient workforce, high-end machinery and large orders of their existing clients.
Lastly, Farooq, present in the meet, showed unaudited balance-sheet of the company, reflecting how the firm was making huge profits.
“After winning over the VP’s confidence, they managed to get Rs4 crore as net investment for their firm on the assurance of 30% yearly returns. Later, they said no profit was made.
When asked to return the money, they failed. The motor firm lodged an FIR recently. We have registered a case under sections 34, 406 and 420 IPC. Further probe is under way,” the cop added.
