The King County Court, Washington has issued an arrest warrant against Madhavi Vuppalapati, founder of Prithvi Information Solutions for her ‘wilful’ failure to appear and submit relevant documents before the Court
The Chief Civil Judge of the King County Court, Washington has issued arrest warrant against Madhavi Vuppalapati, founder of the once high flying Prithvi Info Solutions Ltd for failing to appear before it and abide by legal process.
The Judge in an order issued on 16 October 2014, said, "Contempt in this case is established by Ms Vuppalapati's wilful failure to appear before this Court, her failure to produce the documents, records, information, and tangible items she has been repeatedly ordered to produce and on her failure to answer the questions during her examination she has repeatedly ordered to answer."
The Court was waiting to receive a copy of her passport. Once it goes into the national database she will be taken into custody if she tries to board any flight that flies within the US or even flies through US airspace.
According to sources, on 10th October, Madhavi had reached the US from India to attend her deposition on 13th October as ordered by the Court. However, it is not clear if the founder of Prithvi Info Solutions, was still in the US.
The case related to a suit filed by Kyko Global seeking to recover damages of over $18 million from Prithvi Info Solutions, which was once a high-flying part of India's software story and had been purchased by many top foreign funds.
As reported by Moneylife in November 2011, Prithvi Info Solutions entered into an agreement with Kyko Global Inc, a Canadian company, for certain factoring services.
Prithvi was to sell to Kyko some of its customer account receivables for IT services and authorise direct payment on those customer accounts receivable to be made to Kyko.
When Kyko tried to contact the alleged customer companies directly for payments, it discovered that some of them were associates of Prithvi, who had posed as clients and created and executed the verifications. In order to get the money back, Kyko filed a lawsuit on 16 June 2013 against Prithvi Information Solutions at the US District Court in Seattle.
In the lawsuit, Kyko alleged that, "To further secure the amounts owed to Kyko, on or about 29 March 2013, Madhavi, Pandyar and Sista agreed on behalf of various affiliated companies of Prithvi Info Solutions to enter into a cross-guarantee promising to pay on demand the full amounts owned to Kyko. The cross-guarantee was signed by Madhavi, Pandyar and his wife, Sista and their affiliated companies, Catalytic, Prithvi Solutions, Prithvi Info Solutions, Inalytix Inc, Ananya and Avani. Each of these cross-guarantors promised 'on a joint and several basis, to guarantee the obligations of each debtor to Kyko in respect to the payments of all the accounts receivable...by each debtor'."
"In reality the cross-guarantees were yet another component of defendants' fraudulent schemes, and an attempt to conceal the scheme and ultimate truth of the scam from Kyko," the Canadian company alleged in its complaint.
In September 2013, Kyko filed a Writ of Garnishment against Prithvi Information Solutions. Kyko claimed damages of $18,431,765.90 ($18.43 million) inclusive of balance of judgement, prejudgement interest and interest of judgement from 9 June 2013 to 23 September 2013.
In the Writ of Garnishment, Kyko had named Prithvi Information Solutions Ltd, Prithvi Catalytic Inc, Prithvi Information Solutions International LLC, Prithvi Solutions Inc, Inalytix Inc, International Business Solutions Inc, Avani Investments Inc, Ananya Capital Inc, Madhavi Vuppalapati and her husband Anandhan Jagaraman, Guru Pandyar and his wife Arundathi, Srinivas Sista and his wife Lalita, DCGS Inc, EPP Inc, Financial Oxygen Inc, Huawei Latin American Solutions Inc and L3C Inc.
Earlier in April 2014, following directions from a US District Court to recover money, the Sheriff from King County auctioned personal assets of Madhavi Vuppalapati, founder of Prithvi Info, to recover $17 million.
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Total value of securities in dematerialised form at NSDL and CDSL stood at more than Rs121 lakh crore at the end of September, a rise of nearly 64% over the same period in 2013
India's two depositories, National Securities Depository Ltd (NSDL) and Central Depository Services Ltd (CDSL) added over 10 lakh investor accounts since September 2013 to take the total number of investor accounts to 2.25 crore at the end of September 2014.
The total number of investor accounts at the depositories stood at about 2.15 crore in September 2013.
Individually, the total number of investor accounts at NSDL was 1.34 crore as of September-end 2014 as against 1.29 crore in the same period last year.
CDSL had as many as 91.23 lakh investor accounts at the end of September this year, a sharp jump from 85.60 lakh accounts in the year-ago period.
Together, the total number of investor accounts stood at 2.25 crore in September, an addition of 10.31 lakh accounts from the same month in 2013.
Month-on-month, the cumulative number of investor accounts in both the depositories rose by 1.7 lakh in September over the preceding month.
Meanwhile, data showed that the total value of securities in dematerialised form at the depositories stood at more than Rs121 lakh crore at the end of September, a rise of nearly 64% over the same period in 2013.
NSDL registered demat securities worth about Rs107.2 lakh crore while CDSL recorded demat value of more than Rs14 lakh crore on its platform, as on 30 September 2014.
Besides, the cumulative quantity of securities in demat form stood at Rs1.05 lakh crore in September as compared to Rs44,241 crore in the year-ago period.
The volume of demat securities on NSDL and CDSL stood at Rs86,185 crore and Rs18,870 crore, respectively as on September this year.
The number of investor accounts at the country’s two depositories — NSDL and CDSL — together stood at 2.25 crore at the end of September, an addition of more than 10 lakh investor accounts year-on-year.
NSDL and CDSL allow investors to deposit securities by opening an account. Securities like shares, debentures, bonds of investors are held in electronic form (dematerialised form) at the depositories.
The depositories hold investors’ securities in electronic form through their registered depository participants.
These securities include common equity shares, preference shares, debentures, mutual fund units, among others.
Kalyan Jewellers has received Rs1,200 crore investment from private equity firm Warburg Pincus, in return for a minority stake
Private equity firm Warburg Pincus has invested $200 million (about Rs1,200 crore) in Kerala-based jewellery manufacturing and marketing firm Kalyan Jewellers. The PE firm would get a minority stake in Kalyan Jewellers in a deal that is largest PE investment in this segment in India.
The company is planning expansion of outlets both in India and abroad and is eyeing a revenue of Rs25,000 crore. With 55 exclusive outlets in India, across South India and Maharashtra, Gujarat, National Capital Region (NCR) and Punjab, Kalyan Jewellers is looking at expanding the number of exclusive outlets in existing markets as also foray into newer regions with emphasis on the North and the West of the country.
“Warburg Pincus’ investment in Kalyan Jewellers is the largest private equity investment into the jewellery industry in India,” Vishal Mahadevia, Managing Director and Co-head India, Warburg Pincus, said in a statement.
The company has been engaged in brand building exercise with top Bollywood actors Amitabh Bachchan and Aishwarya Rai Bachchan representing the brand nationwide, since 2012.
Founded in 1993 and headquartered in Thrissur, Kalyan Jewellers is into jewellery manufacturing and distribution.