Indian-origin CEO in US accused of ₹4,200 crore fraud — here’s the full story

New Delhi (The Uttam Hindu): American investment firm BlackRock has allegedly been defrauded of $500 million (approximately Rs 4,200 crore). The company has accused Indian-origin CEO Bankim Brahmbhatt of fraud. BlackRock's private credit investment arm, HPS, struck a deal with Brahmbhatt's telecom company in September 2020. HPS invested $385 million in 2021, which was increased to $430 million in August 2024.

According to the report, in July 2024, HPS received fraudulent email addresses related to investments, which the company informed Brahmbhatt of. Brahmbhatt subsequently assured them that the matter would be resolved, but after some time, he stopped taking calls. When HPS officials visited the company, they found the office closed and upon investigation, they discovered that the company had been declared bankrupt.

According to the Wall Street Journal, when investigators visited his home in Garden City, they found no sign of Brahmbhatt. HPS says he is in India, and the company filed a lawsuit against him in August. The police investigation revealed that all the emails sent by the company were fraudulent, and the balance sheet presented during the investment was merely a paperwork. HPS alleges that Brahmbhatt transferred the invested funds between India and Mauritius.