High-Profile Couple in Legal Spotlight
Bollywood actor Shilpa Shetty and businessman Raj Kundra are once again under public scrutiny — this time over allegations of a ₹60.48 crore financial fraud. Businessman Deepak Kothari, director of Lotus Capital Financial Services Limited, has accused the couple of misappropriating funds intended for business expansion. The case, now with Mumbai Police’s Economic Offences Wing (EOW), has prompted a strong denial from Shetty and Kundra, who have labelled the accusations as “baseless, malicious, and purely civil in nature.”
The Complainant’s Version
According to Kothari, the controversy dates back to 2015 when Shetty and Kundra allegedly approached him for a ₹75 crore loan to expand their television venture, Best Deal TV Private Limited, at a 12% annual interest rate. The venture was a celebrity-backed shopping channel aiming to blend entertainment with e-commerce.
Kothari claims that the couple later persuaded him to treat the amount as an equity investment rather than a loan, promising regular monthly returns alongside the eventual repayment of the principal. Under these terms, he transferred ₹31.95 crore in April 2015 under a share subscription agreement and ₹28.53 crore in September 2015 through a supplementary agreement.
The funds, he says, were deposited directly into Best Deal TV’s accounts. However, despite repeated follow-ups, Kothari alleges that his attempts to recover the money were unsuccessful. He further accuses the couple of diverting the funds for personal use rather than business expansion.
EOW Investigation and Legal Proceedings
The FIR filed by the EOW marks a significant development in what Kothari calls a “calculated act of cheating.” Investigators are examining the flow of funds, the terms of the agreements, and whether there was any criminal intent behind the transactions.
Kothari maintains that the money was meant strictly for business purposes and that any deviation constitutes a breach of trust. His complaint emphasises that the alleged misuse is not merely a contractual dispute but an act of deliberate financial wrongdoing.
The Couple’s Defence
Through their lawyer, Advocate Prashant Patil, Shetty and Kundra have dismissed the claims entirely. They argue that the matter has already been adjudicated by the National Company Law Tribunal (NCLT) in October 2024, where Best Deal TV was declared financially distressed and placed under liquidation.
Their statement insists there is no criminal element, asserting that the transaction was “purely in the nature of an equity investment.” The defence also claims that auditors have provided EOW with detailed cash flow statements and supporting documents over multiple visits to the police station during the past year.
The couple views the FIR as a deliberate attempt to damage their public image, vowing to take “appropriate legal action” against what they term false and defamatory allegations.
Past Controversies
This is not the first time Raj Kundra has faced legal troubles. In 2021, he was arrested in a case involving the production and distribution of pornographic films, later securing bail. In 2023, his premises were searched by the Enforcement Directorate in connection with a money laundering investigation.
A Case of Perception and Proof
The ₹60 crore dispute between Deepak Kothari and the Shetty-Kundra duo straddles the line between commercial disagreement and alleged fraud. While the complainant frames it as a calculated misuse of trust and capital, the couple insists it is an old business transaction already resolved in a corporate tribunal.
For now, the matter rests with the EOW, which must determine whether this is a criminal act warranting prosecution or a civil dispute being fought in the wrong arena. In the court of public opinion, however, the case adds another layer to the couple’s turbulent recent history — one where celebrity, commerce, and controversy seem inextricably intertwined.
(With agency inputs)
