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.
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No muslim will pelt stone to mosques. Then who else???
I wont think that KN govt will control those media. especially siddaramaiah govt. They are always giving preferences to Mulsims
I can strongly say that many of the issues worsening because of biased medias. They are propagating their ideology. Karnataka govt should control that.
Police should act fast and effectively. Should use commandos if needed
Guilty people should get arrested
Mr. Althaf. Did those people written and kept we are Hindus..? I too saw video. From low resolution video how to came to know that he is those people are Hindus. I know many Muslims who does not like many of your rules and rigidity.
honnavara is burning, chickmangalore is in boil, Hunsur suppose to burn! but the communal goons roam free, and we say secular govt, is in power! vote devide bla bla bla!!!! jus wake up and see the realities!!
The policemen belongs to CongRSS party which is ruling Karnataka..
I saw one video in that hindus are pelting stone at mosques and piolice personel are watching this without taking any action. Infront of police Hindu guys are destroying public properties and police is watching the show. Shame on police. How can people trust this police?? Who will save muslim properties and mosques?
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