Businessman Raj Kundra and his actress-wife Shilpa Shetty have been charged with cheating by Mumbai Police’s Economic Offences Wing (EOW) in a Rs 60-crore criminal breach of trust case, officials said on Wednesday.
The EOW, which is probing the case, has added the cheating charge against the couple in addition to criminal breach of trust.
An official said the case was initially registered under Section 406 of the Indian Penal Code (IPC), which deals with criminal breach of trust, and following further investigation, Section 420, relating to cheating and dishonestly inducing delivery of property, was invoked.
The couple was booked under the IPC as the case was registered before the Bharatiya Nyaya Sanhita (BNS) came into force on July 1, 2024. Cheating under the IPC carries a punishment of up to seven years’ imprisonment along with a fine.
Kundra denied the allegations in a post on his X handle, calling them unfounded. “We categorically deny the baseless and motivated allegations being circulated. The issues sought to be raised are being given a criminal colour without any lawful basis,” he said.
“A quashing petition has already been filed before the Hon'ble High Court and is pending adjudication. Having fully cooperated with the investigation, we are sanguine that justice will prevail and have complete faith in law enforcement authorities and the Indian judiciary. We respectfully urge the media to exercise restraint as the matter is sub-judice.” Kundra added.
The case stems from a complaint filed by a 60-year-old businessman, Deepak Kothari, a resident of Mumbai’s Juhu area. Kothari has alleged that he was cheated of Rs 60.4 crore in a loan-cum-investment transaction linked to Best Deal TV Pvt Ltd, a now-defunct company in which Kundra and Shetty were directors.
Police officials said the EOW has already recorded statements of both Kundra and Shetty as part of the investigation, PTI said.