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
Viren Kotian,
Kumar,
Yogesh,
Danish.
George
Shiva
Naren,
Please guys, U guys with all worldly intelligence look like FOOLISH... Dont jump to name an innocent as Terrorist...
Think before YOU blame others
Only U wake up when it happens to you or your own families .
When some is blaming without PROOF ... They are called FOOLS and HYPOCRITE.
Please next time use your God given intellectual and VERIFY before you jump like MONKEYs...
This guy is proved innocent and you guys are proving us that WE can make U dance with any news that is presented to YOU Guys cos U guys never USE your intellect to VERIFY what is Said...THINK and PONDER.
Naren Kotian ......if you need the proof, pls visit the Bhatkal police station and find out who placed the meat bag in NAGABANA to create disturbances ..... this Bastard terrorist should be nakedly hanged.....
wow superb ... third rated jihadist ... hang this bastard ... mostly he arranged passports for islamic state or ISI porkis to conduct bomb blast ... rikacha sumne koorappa, jaathi buddi yelli bidtheera .. we are seeing how your community is doing , proof beka .. proof kotru neev accept madalla .. so waste .. burnol kodla rikacha ?hahahaha
Also arrest the officials who issued him those passports......they are the sponsors of these terrorists.....where are the officers who made his verification.....don't let people laugh at our passport agencies and government.
Do not count chickens before they are hatched? It is normal that painting Muslims with anti nationals and terrorists etc.....
Super and timely catch... Now Amnesty international will start fighting for this anti national's rights. We should make sure he does not escape.
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