MONEYLIFE EXCLUSIVE: Was Anugrah Stock & Broking Diverting Investors’ Money into Real Estate?
Investors who seem in danger of losing nearly Rs1,000 crore with Anugrah Stock & Broking Pvt Ltd now suspect that the owner, Paresh Kariya, may have been diverting funds into real estate and other businesses. A director’s database search by the names of Mr Kariya and his wife throw up other directorships that included  Anugrah Realty Developers Private Limited (incorporated in 2007) and 10 other corporate entities. 
 
 
According to the details readily available on the ministry of corporate affairs (MCA) website, Anugrah Realty Developers is currently an active entity and Paresh Kariya’s brother, Arvind Kariya is also a promoter of the company. 
 
Digging deeper, it seems that the Kariya brothers are also part of a construction company called Dream Heritage Private Limited since 2011, along with its two founders, Kanayalal and Rajesh Mewada. The Mewadas had originally founded a now defunct construction company, Dream Infra and Projects Ltd with a registered address in Borivali, in 2011 and are currently joint directors with the Kariya brothers in Dream Heritage. The Kariya brothers most definitely seem to have ties in the real estate business, but whether investors' money from Anugrah was ever diverted to these companies remains to be seen. 
 
 
Paresh Kariya’s wife Sadhana Kariya, has also been made director in the Anugrah group of companies (latest appointment in 2018) and is registered as the director in six corporate entities. Both Paresh and Sadhana are also promoters of a holding company called WW Technology Holdings Ltd (previously known as Suprabhat Holdings Ltd, 1983-2002). A quick search on Google reveals that this holdings company does not even have a functional website  which is filled with generic placeholder text.
 
 
Looking into other companies that the Kariya brothers are both involved in, Wagad Fincap Ltd was founded and registered in 1993 by Paresh Kariya, and Sadhana Kariya was made a director in 2007. According to details present on the MCA website, this company is still active but other details as to its operations or functions are scarce. There is also no website for this company. 
 
Together, the Kariya brothers are also directors on Polytex India Ltd, which according to its comparatively better maintained website (http://polytexindia.com/) is a registered non-banking finance company (NBFC) since 1987 and also on Rapid Credits and Mercantiles Private Ltd. Closer inspection also reveals that many of the aforementioned companies have been registered at the same Vile Parle address as Anugrah Stock & Broking. 
 
Although there is no direct evidence connecting misappropriation or redirection of investors' funds to the sister concerns of Anugrah, these clues and details certainly do not provide any confidence in the company or its promoters' actions. 
 
This is clearly a case for the police and economic offences wing (Mumbai EOW Registers Cheating Case against Anugrah Stock & Broking) to look into, since a case has already been registered. Investors of Anugrah, who may have blindly trusted the company, which had lured them with the offer of high monthly returns, have some hope of recovery if the police do find diversion of funds. Moneylife was the first to write about the fraud at Anugrah. All our reports can be accessed here.
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    COMMENTS

    aksharma.pnb

    2 months ago

    Liberalisation, privatization and globalisation are nothing but loot of public money via PSBs. Holding companies and subsidiaries should be totally banned and nobody should be director in more than one company. Every company must have owned separate office and MCA should monitor monthly and be made responsible. PSBs should monitor credit facilities daily and charged for any violation.

    Sudhir Mankodi

    2 months ago

    Real good investigative piece of journalism. How come when a journalist could find out such link and those sitting in the cosy offices of MCA and ROC, Mumbai could not see those connections and questioned the promotors? Gullible investors have to suffer now. The officials in charge should be made accountable and arrested, interrogated and punished after due legal process.

    s5rwav

    2 months ago

    EOW Wing of #MumbaiPolice should Make the #ROCMumbai as Co-Conspirator in the Financial Frauds of Thousands of Crores that seems to have Taken Place with Successive ROCs, Mumbai and RDs, Mumbai of Ministry of Corporate Affairs at Mumbai. I am Babubhai Vaghela from Ahmedabad on Whatsapp Number 9409475783. Thanks.

    Mumbai EOW Registers Cheating Case against Anugrah Stock & Broking
    The economic offences wing (EOW) of Mumbai Police has registered a case of cheating against the troubled stock-broking house, Anugrah Stock & Broking Pvt Ltd, for duping an investor of Rs8 crore. As Moneylife has reported in the past , the extent of investor losses in Anugrah could be as high as Rs1,000 crore and investigators have confirmed that more complaints having been subsequently coming to the EOW.
     
    The case was registered by Ashutosh Shah at Juhu police station against the firm’s director Paresh Kariya, and Kalap Shah and Anil Gandhi of Teji Mandi Analytics and others, under criminal breach of trust and criminal conspiracy. However, no arrests have been made yet. 
     
    Speaking to the Times of India, EOW chief Rajvardhan Sinha said, “We have received several complaint applications against the stock broking firm and others. A case has been registered and our teams are gathering details about the case.”
     
    The complainant was introduced to Anugrah by Teji Mandi Analytics, one of its many sub-brokers and was promised a 15% monthly profit/interest. He is one of the many investors who were lured in with promises of high returns and has now chosen to act by filing a complaint with EOW.
     
    During an inquiry, Mr Kariya has told the police that Anugrah has suffered losses of Rs600 crore and, hence, was not in a position to return the money to the complainant. Moneylife had also reported earlier that NSE had withdrawn all of the brokerage firm’s trading rights in the Future and Options (F&O), currency derivatives and commodity derivatives segment, on account of the regulatory concerns it had observed. 
     
    Investigation has been revealed that Mr Kariya had invested the complainant’s money in F&O and had also pledged his clients’ shares worth more than Rs100 crore to get a trading margin. Some of those shares were purchased using the complainant’s funds. 
     
    Mr Kariya has reportedly told the EOW that he suffered losses this year when the market crashed and that the clearing house had squared off his pledged shares, subsequently selling them at a lower price during this time. However, as one EOW officer pointed out, he had failed to keep his clients informed about the losses in the market. We have also recently learned that losses in the market are not entirely to blame for the present situation at Anugrah, as there have been indications that two ledgers were maintained for clients and regulators separately, a clear indication of fraud. 
     
    As per the latest update, a team led by senior inspector Rajesh Kelwe and assistant police inspector Deodikar of the EOW has carried out searches at Mr Kariya’s premises. 
     
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    COMMENTS

    s5rwav

    2 months ago

    #DailyReminder 13092020. Mr Sanjay Kumar the #ChiefSecretary to Govt of Maharashtra, Please Order to Dismiss the Incompetent and Inefficient and Corrupted Police Commissioner of Mumbai Refusing to File FIR against Mr #KamalGwalani the Rogue Officer of Indian Oil Corporation Limited at Mumbai and Not Arrested the Accused for Criminal Intimidation and Threatening to Babubhai Vaghela. I am Babubhai Vaghela from Ahmedabad. Thanks.....https://timesofindia.indiatimes.com/city/mumbai/maharashtra-sanjay-kumar-is-new-chief-secretary-ajoy-mehta-to-be-the-cm-uddhav-thackerays-advisor/articleshow/76620970.cms

    s5rwav

    3 months ago

    Dear #CPMumbai: Financial Frauds in Share Market, Concentrated at Mumbai, Happen Regularly and Routinely. However, EOW of #MumbaiPolice seem Unfazed unless Media News after Media News after Media News after Media News..... Report them these Financial Frauds of Thousands of Crores of Public Money. If You are Not #TotallyCorrupted like Your Officers Down the Line, Please Ensure these Financial Fraudsters who Brazenly Looted Thousands of Crores of Public Money are Arrested and Never get Bails & Not Allowed to Run Away from India to Other Countries that are Safe for these Financial Fraudsters. I am Babubhai Vaghela from Ahmedabad. Thanks.

    EPFO to pay 8.5% interest rate for FY20 in 2 instalments
    The Employees' Provident Fund Organisation (EPFO) will pay 8.50% interest rate to the formal sector employees for the last fiscal year in a staggered manner due to the impact of the coronavirus pandemic.
     
    The total payment would include 8.15 per cent interest rate from debt income and the balance 0.35 per cent from the sale of ETFs subject to their redemption by December 31, 2020, said an official statement.
     
    The decision was at the meeting of EPFO's Central Board on Wednesday.
     
    "In view of exceptional circumstances arising out of Covid-19, the agenda regarding interest rate was reviewed by the Central Board and it recommended the same rate at 8.50 per cent to the Central government. It would comprise of 8.15 per cent from debt income and balance 0.35 per cent (capital gain) from the sale of ETFs subject to their redemption by 31st December, 2020," the Labour and Employment Ministry statement said.
     
    The Central Board also recommended to account such capital gains in the income of the financial year 2019-20 as being an exceptional case.
     
    It also accorded approval for amendment of paragraph 22(3) of Employees' Deposit Linked Insurance Scheme, 1976 to enhance the maximum assurance benefit to Rs 7 lakh from the present maximum assurance benefit of Rs 6 lakh.
     
    "This amendment will provide additional succour to families and dependents of members of the scheme in case of their unfortunate death while in service," it said.
     
    Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.
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