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Mar 16: An investigation into Coffee Day Enterprises Ltd., initiated by its board after the death of founder V.G. Siddhartha, is likely to conclude that at least Rs 2,000 crore is missing from its accounts, according to people familiar with the matter.

The months-long probe following the suicide of Siddhartha in July examined the financial transactions of India’s largest coffee chain and its dealings with dozens of private companies owned by the entrepreneur. The draft report, running more than a hundred pages, points to thousands of rupees that have gone missing, said the people, asking not to be named because the details aren’t public. It also details hundreds of transactions between the founder’s listed and personal businesses that were not conducted at arm’s length, they said.

Though the report is in its final stages, the precise details could change before its release, expected as early as this week, the people said. The missing funds could total more than Rs 2500 crore, one person said.

“The investigation report is still a work in progress, and not finalized,” a spokesman for the company said. “The board of directors and the company are unaware of its content at this point of time. Hence it would be premature to speculate on the investigation findings.”

The priority for management and Siddhartha’s family “is to keep the business running in a challenging environment and meet all stakeholder commitments, including 30,000 jobs associated with the group,” the spokesman added.

The disappearance of the 59-year-old founder last year stunned India’s business community. He had last been seen telling his driver he was going for an evening walk along a bridge in southern India; his body was found by local fishermen two days later. A letter delivered to Coffee Day’s board and employees, which appeared to be signed by Siddhartha, described massive debts and complained of pressure from lenders and tax authorities. It claimed he bore sole responsibility for the company’s financial transactions.

The probe began about a month later when the company brought in Ashok Kumar Malhotra, a retired senior official from India’s federal enforcement agency, to investigate. A senior lawyer practicing in India’s top court is assisting, the company said in a regulatory filing at the time.

The publicly traded Coffee Day was supposed to be India’s answer to Starbucks Corp. More than 1,500 of its Café Coffee Day outlets blanketed cities and highways, with affordable options for the country’s aspiring middle classes. The chain’s tagline: “A lot can happen over coffee.”

But the empire has been battered since the founder’s death. Its shares plummeted about 90% and its market value dropped to about $80 million. Trading was suspended in February.

India’s regulators are tracking the situation and may use the company’s final report as part of a deeper dive into its internal affairs, the people said. Coffee Day showed about Rs 2400 crore in cash and cash equivalents on its balance sheet as of March 2019, the most recent figures the company has issued.

After the death of Siddhartha however, the company faced a severe liquidity crunch and had “zero cash in the bank,” according to one of the people. It struggled with day-to-day expenses and paying salaries has been a strain, the person said.

The draft report details personal guarantees by Siddhartha for loans taken by Coffee Day, and his unsecured loans at high interest rates from local money lenders, the people said. It also probes Coffee Day’s defaults to coffee growers and other vendors, they said.

A related issue is that coffee estates owned by Siddhartha and several employees had been used as collateral for bank loans. The report found that valuations for properties were inflated to get the loans, one person said.

Investigators have examined several theories about what happened to the company’s money, including whether Coffee Day was manipulating its finances to show cash and profit and whether Siddhartha was taking cash out of the listed company to pay off a large investor to whom he had guaranteed a return, the person said. From the filings of his listed and private companies, the entrepreneur’s loans had totaled more than Rs 10,000 crore, and he had been squeezed by borrowing to repay interest on earlier loans, the person said.

In the letter purportedly from Siddhartha, the entrepreneur said he had tried his best but failed as an entrepreneur. “I am solely responsible for all mistakes,” the letter read. “Every financial transaction is my responsibility. My team, auditors and senior management are totally unaware of all my transactions. The law should hold me and only me accountable, as I have withheld this information from everybody including my family.”

As the report nears release, Coffee Day is finalizing a deal with Blackstone Group Inc. for real estate assets. A large tranche of the payment is due in about a week, one person said.

Coffee Day said it is working to reduce its debt load by divesting non-core enterprises.

“The aim is to save employment and preserve this iconic Indian brand,” the spokesman said.

Kolkata, Jan 1: US-based Bangladeshi author and playwright Sharbari Zohra Ahmed feels that the people of the country of her origin are more alike than different from Indians as they were originally Hindus.

But Bangladeshis now want to forget their Hindu roots, said the author, who was born in Dhaka and moved to the United States when she was just three weeks old.

Ahmed, who is the co-writer of the Season 1 of 'Quantico', a popular American television drama thriller series starring Priyanka Chopra, rues that her identity as a Bengali is getting lost in Bangladesh due to the influence of right-wing religious groups.

"How can Bangladesh deny its Hindu heritage? We were originally Hindus. Islam came later," Ahmed said while speaking to PTI here recently.

"The British exploited us, stole from us and murdered us," she said about undivided India, adding that the colonialists destroyed the thriving Muslin industry in Dhaka.

Ahmed said the question of her belief and identity in Bangladesh, where the state religion is Islam, has prompted her to write her debut novel 'Dust Under Her Feet'.

The British exploitation of India and the country's partition based on religion has also featured in her novel in a big way.

Ahmed calls Winston Churchill, the British prime minister during World War II, a "racist".

"He took the rice from Bengal to feed his soldiers and didn't care when he was told about that.

"During my research, I learnt that two million Bengalis died in the artificial famine that was created by him. When people praise Churchill, it is like praising Hitler to the Jews. He was horrible," she said.

The author said her novel is an effort to tell the readers what actually happened.

"Great Britain owes us three trillion dollars. You have to put in inflation. Yet, they (the British) still have a colonial mentality and white colonisation is on the rise again," Ahmed, who was in the city to promote her novel, said.

The novel is based in Kolkata, then Calcutta, during World War II when American soldiers were coming to the city in large numbers.

The irony was that while these American soldiers were nice to the locals, they used to segregate the so-called "black" soldiers, the novelist said.

"Calcutta was a cosmopolitan and the rest of the world needs to know how the city's people were exploited, its treasures looted, people divided and hatred instilled in them," she said.

"Kolkata was my choice of place for my debut novel since my mother was born here. She witnessed the 'Direct Action Day' when she was a kid and was traumatised. She saw how a Hindu was killed by Muslims near her home in Park Circus area (in the city)," Ahmed said.

Direct Action Day, also known as the Great Calcutta Killings, was a massive communal riot in the city on August 16, 1946 that continued for the next few days.

Thousands of people were killed in the violence that ultimately paved the way for the partition of India.

'Dust Under Her Feet' is set in the Calcutta of the 1940s and Ahmed in her novel examines the inequities wrought by racism and colonialism.

The story is of young and lovely Yasmine Khan, a doyenne of the nightclub scene in Calcutta.

When the US sets up a large army base in the city to fight the Japanese in Burma, Yasmine spots an opportunity.

The nightclub is where Yasmine builds a family of singers, dancers, waifs and strays.

Every night, the smoke-filled club swarms with soldiers eager to watch her girls dance and sing.

Yasmine meets American soldier Lt Edward Lafaver in the club and for all her cynicism, finds herself falling helplessly for a married man who she is sure will never choose her over his wife.

Outside, the city lives in constant fear of Japanese bombardment at night. An attack and a betrayal test Yasmine's strength and sense of control and her relationship with Edward.

Ahmed teaches creative writing in the MFA program in Manhattanville College and is artist-in-residence in Sacred Heart University's graduate film and television programme.

Mumbai, May 31: Shiv Sena leader Sanjay Raut on Sunday alleged that the event held in Ahmedabad to welcome US President Donald Trump in February was responsible for the spread of coronavirus in Gujarat and later in Mumbai and Delhi, which some of his delegates had visited.

Raut also hit out at the Centre saying that the lockdown was implemented without any planning, but now the responsibility of lifting the curbs was left to the states.

The Sena MP said that despite the opposition BJP's attempts to pull down the Maharashtra Vikas Aghadi (MVA) government, there was no threat to it as its survival is the 'majboori' (compulsion) of all the three ruling allies- Sena, NCP and Congress.

"It can't be denied that the spread of coronavirus in Gujarat was because of the massive public gathering held to welcome US President Donald Trump. Some of the delegates, who accompanied Trump, also visited Mumbai, Delhi, which led to the spread of the virus," Raut said in his weekly column in Shiv Sena mouthpiece 'Saamana'.

On February 24, Trump along with Prime Minister Narendra Modi had taken part in a road-show in Ahmedabad, which was attended by thousands of people. After the road- show, the two leaders had addressed a gathering of over one lakh people at Motera cricket stadium, run by Gujarat Cricket Association (GCA).

Gujarat had reported its first coronavirus cases on March 20, when samples of a man from Rajkot and a woman from Surat tested positive for the disease.

Raut said that any move to pull down the Uddhav Thackeray-led MVA government and impose President's rule in the state citing its failure to curb the coronavirus pandemic would be suicidal.

"The state had witnessed how President's rule was imposed and lifted as per will six months ago," he said.

"If the handling of coronavirus cases is the basis of imposing President's rule, then it should be done in at least 17 states, including the BJP-ruled ones. Even the central government has failed to curb the pandemic as it had no planning to fight the virus," he said.

"The lockdown was imposed without any planning and now without any plan, the responsibility of lifting it has been left to the states. This chaos will further worsen the crisis," he said.

The Sena MP said that Congress leader Rahul Gandhi has made an excellent analysis of how the lockdown has failed.

"It is shocking that people can indulge in politics by demanding President's rule in Maharashtra for the rise in the coronavirus cases," he said.

BJP MP Narayan Rane had recently met Maharashtra Governor B S Koshyari and demanded imposition of President's rule in view of the the Shiv Sena-led state government's "failure" in tackling the coronavirus pandemic. However, the BJP had later said that it was not trying to destabilise the government.

Speaking about the stability of the government, Raut said that the survival of the MVA government was the 'majboori' (compulsion) of each of the three alliance partners.

"Even if there are internal conflicts among the ruling partners, there is no threat to the government as the allies know that its survival is the 'majboori' of each one of them," Raut said.

He said that the Devendra Fadnavis-led government, in which the BJP and Shiv Sena shared power, saw internal conflicts between the ruling allies, but it completed its full five-year term.

Slamming Fadnavis, who is now the Leader of Opposition in the Legislative Assembly, for predicting downfall of the MVA government saying it will fall on its own due to its internal bickering.

"If the Fadnavis government, which witnessed deep internal conflicts between BJP and Sena, didn't fall, how can this one collapse? The Fadnavis government survived despite the (Sena) ministers carrying their resignation letters in their pockets," Raut wrote.

Fadnavis, in an online media interaction held earlier recently, said he had no intention to destabilise the MVA government and said it would collapse on its own.

"What Fadnavis means is that all attempts (of the BJP) to create discord among the three allies and break the MLAs has failed. Now the opposition hopes that something would happen among the allies and the government would be fall apart," he said.

Raut said NCP president Sharad Pawar is the prominent leader, who laid the foundation stone of the "Thackeray sarkar", and only he can predict the future of the government.

"He continues to say the government is stable and even the Congress is not going anywhere. MVA legislators are not up for sale in horse-trading. Hence, if the opposition says that the government will fall, it is wrong," he said.