SURAT— A tale of corporate betrayal is unfolding in Surat, where a U.S.-based businessman has accused his longtime chartered accountant of carrying out a multi-crore fraud. According to a complaint filed with the police, the accountant, entrusted with administrative control of the company, allegedly seized the firm’s assets and shares by unlawfully inducting his own family members onto the board and transferring ownership to himself.
A Complaint of Corporate Deception Filed in Surat
Surat police have registered a case bringing to light a dispute involving a 54-year-old businessman, Vijay Shah, and his chartered accountant, Kailash Chandra Lohia. Shah, an NRI residing in Oklahoma City, U.S., has accused Lohia of illegally seizing control of his company, Hitech Water Solution Private Limited. According to the police complaint filed at the Khatodara police station, the alleged conspiracy also involves three of Lohia’s family members—his wife, mother-in-law, and brother-in-law. The complaint outlines a systematic takeover of the company’s assets and shares without Shah’s knowledge or consent, culminating in the complete removal of his name from the company’s ownership. The total value of the alleged fraud is estimated to be over ₹18 crore.
A Tale of Trust and a Transfer of Rights
The genesis of the dispute dates back to 2013 when Shah, citing frequent overseas travel, entrusted Lohia with full administrative rights to Hitech Water Solution. Shah formally appointed Lohia as a director and, in what he believed was a gesture of trust, transferred 50 percent of the company’s shares—valued at ₹6.43 crore—into Lohia’s name. This initial arrangement, however, would later become the foundation for a bitter legal battle. Shah claims that he was under the impression that Lohia would manage the business interests on his behalf. The situation soured significantly in 2017 when, according to the complaint, Lohia allegedly inducted his wife, Disha, his mother-in-law, Usha, and his brother-in-law, Pradeep Agarwal, as directors without seeking Shah’s approval. This move, Shah claims, was the first step in a calculated plan to seize control.
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The Alleged Unlawful Transfer of Shares
The complaint further details a series of illegal maneuvers that led to the complete ousting of Shah from his own company. In 2018, Lohia was accused of unlawfully transferring the remaining 50 percent of Shah’s stake to his wife’s name. This transfer Shah states was executed without following due legal procedures. The complaint states that no official meeting agenda was issued to approve the transfer and the required stamp duty was reportedly not paid. This action effectively left Shah with no ownership or administrative control over the company he founded. The total value of the alleged fraudulent transfers, including the initial 50 percent share, the subsequent 50 percent, and the company’s assets, amounts to the staggering figure of ₹18.73 crore.
Legal Action Underway
In response to the complaint, Surat police have initiated a thorough investigation. The accused—Lohia and his family members—have been booked under various sections of the law, including charges of cheating and other relevant offenses related to corporate fraud. The outcome of the police investigation will determine the fate of Hitech Water Solution Private Limited and may set a precedent for similar cases of alleged corporate misconduct and betrayal of trust. For Vijay Shah, what began as a trusting partnership has spiraled into a bitter legal battle to reclaim what he claims is rightfully his.