The Economic Offences Wing (EOW) of Mumbai Police has escalated its investigation into Raj Kundra and actress Shilpa Shetty over allegations of defrauding an investor of ₹60.48 crore through their now-defunct venture, Best Deal TV Pvt Ltd. The case, rooted in promises of high returns and business expansion, has raised sharp questions about celebrity-backed enterprises and investor trust in India’s volatile business ecosystem.
Allegations and Legal Challenge
Raj Kundra, businessman and husband of Bollywood actor Shilpa Shetty, is under scrutiny following a complaint by businessman Deepak Kothari, Director of Lotus Capital Financial Services. Kothari alleges that between 2015 and 2023, he invested over ₹60 crore in Best Deal TV Pvt Ltd a celebrity-promoted television shopping platform — on assurances of lucrative returns.
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Instead of funding expansion, Kothari claims the money was diverted for personal use. On his complaint, the EOW registered a case in August 2025, filing charges under IPC Sections 403 (dishonest misappropriation of property), 406 (criminal breach of trust), and 34 (common intention).
Authorities have issued a Look Out Circular (LOC) against both Kundra and Shetty to prevent them from leaving the country. After initially requesting additional time, Kundra is scheduled to appear before investigators today, September 15.
Background: Investment Promises and Insolvency Trail
Documents show that Shetty and Kundra jointly owned nearly 87.6% of Best Deal TV at the time of investment. Kothari was introduced to Kundra through mutual contacts and was assured both monthly returns and repayment of his principal investment. Shilpa Shetty resigned from the company in 2016, but Kundra continued to promote the platform.
The FIR filed at Juhu Police Station states that Kundra and Shetty’s firm repeatedly promised expansion, only for the funds to allegedly be siphoned away.
Kothari later discovered that insolvency proceedings had been initiated against Best Deal TV after another investor accused the promoters of fraud. Despite this, the company allegedly continued to seek fresh investments.
The EOW has also summoned the auditor of the National Company Law Tribunal (NCLT) for questioning. Investigators noted that Kundra and Shetty were called three times during the preliminary inquiry but cited their stay in London as a reason for non-appearance. Their attorney’s submissions were deemed insufficient, leading to the registration of a formal FIR.
Response from Kundra and Shetty
Both Raj Kundra and Shilpa Shetty have denied wrongdoing. Their lawyer, Prashant Patil, described the accusations as “baseless and malicious,” emphasizing that the matter was civil in nature and had already been examined by the NCLT.
Patil stated that there was no criminal element involved, adding that auditors had already provided all necessary documents to authorities. He further argued that the investment was purely equity-based and that the company, now in liquidation, had received a formal liquidation order presented to police.
“All cash flow statements and supporting documents have been submitted. There is no misappropriation here, only a business failure,” Patil reiterated.
A High-Stakes Investigation
For now, the EOW is combing through years of financial records, shareholder agreements, and personal transactions. While Kundra prepares to face questioning, Shetty’s involvement remains under legal scrutiny despite her early resignation from the firm.