Bengaluru, Jul 26: A year-long probe by Coffee Day Enterprises Ltd (CDEL) has found that its late founder V G Siddhartha routed Rs 2,693 crore out of the company to Mysore Amalgamated Coffee Estates Ltd (MACEL), another privately-owned entity of him.
The MACEL owes Rs 3,535 crore to subsidiaries of Coffee Day Enterprises as of July 31, 2019 of which only Rs 842 crore was accounted.
"Therefore, a sum of Rs 2,693 crore is the incremental outstanding that needs to be addressed," said the report of an investigation headed by Ashok Kumar Malhotra, a retired DIG of Central Bureau of Investigation (CBI) and assisted by law firm Agastya Agastya Legal.
Siddhartha was found dead in early August 2019, and many suspected that he had committed suicide.
Steps are being taken by subsidiaries of CDEL for recovery of dues from MACEL, the company said.
"The board authorised the Chairman to appoint an ex-judge of the Supreme Court or the High Court, or any other person of eminence, to suggest and oversee actions for recovery of the dues from MACEL and to help on any other associated matters," it said in regulatory filings at stock exchanges late on Friday.
The probe further gives clean chits to the Income Tax Department and the private equity firms who Siddhartha in his parting letter had alleged of harassment.
"We have not been provided with any documentary evidence to draw an inference that there may have been any advertent or inadvertent harassment from the Income Tax Department," said the probe report.
The probe also highlighted severe liquidity crunch at CDEL in the build-up to Siddhartha's death.
A committee supported by senior professionals was formed to protect the interest of all stakeholders. CDEL said the debt levels which were about Rs 7,200 crore on March 31, 2019 have been brought down significantly by Rs 4,000 crore. The present debt of the group is around Rs 3,200 crore.
"The disinvestment process in the group continues and we are confident to have effective solution to all stakeholders," it said.
Comments
Monkey came for mangalore to go kerala...publick is stuppid.
After bringing Yogi to Kerala through Mangalore , BJP had lost their prospect in both states. the man with lot of criminal cases on his head has come to teach the law and order. People will start to compare their state with yogis ruled state. People want their children not to die due to lack of oxygen, People dont want to loose their monumental identities, People want to live in love and peace. they dont want price rice. and many more. By bringing this uneducated man to educated stateS BJP itself will realize their mistake
Why these days communal gundas visiting our manglore? Is there any conspiracy to disturb the peace in dakishin kannada?? May god save our DK.
Just wasting tax payers money only one intention to spread communal unrest all over INDIA. But state like Kerala with 100% educated Malayaly nothng will happen. Even rss's heavy funding to noted goondas they cannot make a Hair Line Fracture to Kerala State. At Punjab, Bengal and Kerala rss notable to cook their dish DHAAL NAHI GHALAGHI.
Amit Shah's Drama in front of temple never accepted by any HINDU Diety.
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