New Delhi, Jul 25: Nearly a year after Cafe Coffee Day founder V.G. Siddhartha's death, the probe committee appointed by the Board of Coffee Day Enterprises Ltd (CDEL) has given a virtual clean chit to private equity investors and the Income Tax Department who were named in his last letter.
The investigation report noted that Siddhartha may have felt "aversive behavioural stimulus" due to persistent reminders from the PE investors and other lenders.
"However, such reminders and follow-ups by the PE investors and lenders are not something which are beyond normal industry practices and we believe that PE investors were acting as per accepted legal and business norms," said that report.
It further said that the investigators were not provided with any documentary evidence to show any "advertent or inadvertent harassment" from the Income Tax Department.
It however, said that the financial records suggest a serious liquidity crunch which may have arisen due to the attachment of Mindtree shares by the IT Department.
Further, the probe revealed that MACEL, a private firm of Siddhartha, owes Rs 2,693 crore to Coffee Day Enterprises, which the report says, "needs to be addressed".
The Cafe Coffee Day founder's body was fished out of the Netravathi river in Karnataka by a group of fishermen on July 31 last year, a day after he went missing.
His last note raised several questions about the role of investors, and tax officials.
He had written: "Tremendous pressure from other lenders lead to me succumbing to the situation. There was a lot of harassment from the previous DG Income Tax in the form of attaching our shares on two separate occasions to block our Mindtree deal and then taking possession of our Coffee Day shares, although the revised returns have been filed by us. This was very unfair and has led to a serious liquidity crunch."
The massive shock to the industry and the country also led the government to assure that tax officials would not harass businessmen and the situation would improve.
Comments
Condolences. The content of the news is correct. However his age is not 32. He was above 40. I know him very well. He was suffering from some psychological illness.
Dear Kuswanth,Please dont call chaddi,now changed chaddi and brought new langa,
Really very Sad News, My Heartiest Condolences, may his soul rest in peace. we are loosing young educated, energetic, citizens one by one, Where are you BJP, Bajrangi, Chaddi criminals, you have your Moral Police where are you Goons???? you Buffoon Dodanna fingering to our Great Bhatta no good, he is servant to Innocents, you are correct about him, once Investigation only the real culprit Identifying, but lost was lost, try to keep peace in the region,
Where are you Sharan Goon? go there man do some thing, looks you might be in Mysore to start Looting this is the time you Criminal looters do!!!!!
Jai hoo Siddaramanna.
No doubt this is a pre-planned murder some one has paid lumsum amount superior to kill Harish. Police must arrest first that Bhatta chassis and carry our fair investigation. For money prahakara will do anything.
Jai Ho Karnataka
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