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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Muslim organisations felicitate State BJP Chief Nalin Kumar
I want to know from them wat was the need for this. Has this helped the ordinary Mangalore Muslims in anyway. I would not have asked abt this if the program was conducted in your house. But here it is done in the name of Muslims. We need to stop being intellectually dishonest
Young energetic Muslim brothers present in Dk ,please note we need young leaders to lead us . Wake up ... and take over .
We respect ur decision sir.
But there are a lot of questions about it on people's mind.
We need to be updated about ur next plan of action.
Are u planning to approach the court for gaining the permission from the police, bcoz otherwise I don't think we will get the permission
Secondly, a few days back I wanted to contact Muslim central committee office to confirm if the protest Wil be there. I googled for the no, but the no. did not exist. Does that mean the Muslim central committee does not have an office or telephone no????
This only shows how organised we are.
Requesting Muslim central committee to get their house in order. Get more professional. Also consult people to utilise various platform to responsibly collect funds from so many ordinary bearys who want to donate money, but don't know whom to send it to.
We need an action committee to handle such situations. It must consist a battery of lawyers to fight the cases filed by the police.
If our leaders are old, they need to groom new leaders into the committee.
Moreover, it is important to question these so called leaders about their fecilitation program conducted for making kateel wen he won the election. Wat was the purpose of such fecilitation. Becoz I don't think he gives a damn when our community suffered. I question, whether all this is done in our name only to gain your contact and flourish ur business???
Never ever dare to do so in the name of Muslims
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