Mumbai: Bollywood actress Shilpa Shetty and her husband, businessman Raj Kundra, have assured officials of the Mumbai Police's Economic Offences Wing (EOW) that they will appear for questioning on September 15 in a Rs 60.48 crore cheating case registered against them.
Sources in the EOW confirmed to UNI that the couple was initially summoned to appear on September 10, but they sought an extension, which was granted.
This comes amid an ongoing investigation into allegations of financial fraud involving their now-defunct company, Best Deal TV Private Limited.
Officials recalled that a Look Out Circular (LOC) had earlier been issued against the couple, restricting their travel outside India amid fears they might leave the country to evade the probe.
A senior EOW official revealed that summons have also been issued to the auditor of the National Company Law Tribunal (NCLT), who is expected to assist investigators in tracing the financial trail.
Shetty and Kundra had previously been called in for questioning three times during the preliminary inquiry but did not appear, citing their stay in London.
They instead sent their legal representative, but the EOW found the information provided to be insufficient, leading to the registration of a formal First Information Report (FIR).
The case was originally registered on August 14, 2025, at Juhu police station, following a complaint by Deepak Kothari, a 60-year-old director of Lotus Capital Financial Services. Kothari alleged he was defrauded of Rs 60.48 crore between 2015 and 2023 in a loan-cum-investment deal linked to Best Deal TV Pvt Ltd.
According to the FIR, Kothari was introduced to the couple in 2015 through intermediary Rajesh Arya, who claimed close ties with them. Arya had approached Kothari seeking a substantial loan of Rs 75 crore at 12 per cent annual interest for Best Deal TV, which at the time operated as an online shopping and home retail platform focused on lifestyle, fashion, health, and beauty products.
The arrangement was later allegedly converted from a loan to an "investment" to avoid higher taxation while promising Kothari monthly returns and repayment of the principal amount.
Between April 2015 and March 2016, Kothari transferred Rs 31.95 crore under a share subscription agreement and an additional 28.53 crore rupees under a supplementary agreement, totalling Rs 60.48 crore plus Rs 3.19 lakh in stamp duty.
All funds were allegedly credited to Best Deal TV's HDFC Bank accounts.
At the time of the transaction, Shilpa Shetty held approximately 87.61 per cent equity in Best Deal TV Private Limited while Raj Kundra was also a director.
In April 2016, Shilpa Shetty provided a written personal guarantee assuring Kothari that the money would be returned with 12 per cent annual interest, making her individually liable for the debt beyond her role as the company director.
However, in September 2016, Shetty resigned as director of Best Deal TV Private Limited without informing Kothari, shocking the complainant. Kothari later discovered that the company faced insolvency proceedings worth Rs 1.28 crore filed by vendor Aesthetique Solutions, represented by Heena Prakash Desai.
This insolvency case was filed under Section 9 of the Insolvency and Bankruptcy Code 2016 and was admitted by the National Company Law Tribunal Mumbai in May 2017.
The insolvency proceedings against Best Deal TV continued for several years with multiple hearings at NCLT Mumbai. As recent as November 2024, there were still proceedings related to the dissolution of the corporate debtor, and the company eventually went into liquidation after unsuccessful resolution attempts.
As the disputed amount exceeded Rs 10 crore, the investigation was transferred to the Economic Offences Wing. After conducting preliminary inquiry, EOW registered the case under Indian Penal Code sections 403 for dishonest misappropriation of property, 406 for criminal breach of trust, and 34 for common intention against Shetty, Kundra and another person.
Kothari's complaint alleges that the funds were diverted for personal expenses rather than business expansion as promised. His repeated attempts to recover the money were further complicated and delayed during the COVID-19 pandemic, extending the period of non-repayment.
An audio recording between Raj Kundra and complainant Deepak Kothari has surfaced on social media, though its authenticity has not been confirmed. In this recording, Kothari is heard saying that the money he provided was for "equity investment," while a voice allegedly belonging to Raj Kundra responds that he had not taken any loan from Kothari.
The couple's advocate Prashant Patil has dismissed all allegations as "baseless and malicious," stating that the matter is "purely civil in nature" and was already adjudicated by the National Company Law Tribunal Mumbai on October 4, 2024.
According to their lawyer, this concerns an old business transaction where the company went into financial distress and was involved in lengthy legal battles at the NCLT.
The defence maintains that their auditors have provided all supporting documents, including detailed cash flow statements, to the investigating agencies. They claim there is no criminality involved and are preparing legal action against what they term as attempts to malign their clients.
Amid the ongoing legal troubles, Shilpa Shetty has announced the closure of her famous restaurant Bastian Bandra, which was launched in 2016 and became a hotspot for Bollywood celebrities.
The actress announced through Instagram that the restaurant would close on Thursday, marking "the end of an era," while indicating that a new chapter would begin with "Bastian at the Top."
Deepak Kothari serves as director of multiple companies including Lotus Capital Financial Services Ltd, a non-banking financial company, and UY Industries Private Limited. His company Lotus Capital Financial Services is described as an NBFC, which explains his involvement in providing substantial loans and investments.
The Economic Offences Wing is currently scrutinising the money trail and examining each accused's involvement in the alleged conspiracy.
