The Central Bureau of Investigation (CBI) has filed an FIR against Jai Corp Ltd., its Director Anand Jaikumar Jain, Urban Infrastructure Venture Capital Ltd., Urban Infrastructure Trustees Ltd., and other associated entities for allegedly defrauding investors of ₹2,434 crore. The case was registered following a directive from the Bombay High Court, which ordered an investigation into complaints received in 2021 and 2023.
According to the FIR, between May 2006 and June 2008, the accused allegedly raised ₹2,434 crore from the public under the pretext of investing in real estate projects. However, funds were reportedly diverted through unsecured loans within sister companies and shown as losses using fabricated documents. Additionally, the accused are alleged to have transferred investor funds to offshore entities in Mauritius and Jersey Channel Islands for personal benefits, with loans availed from Indian banks being redirected to foreign accounts.
The FIR also mentions that investor funds were used for speculative trading in futures contracts of Reliance Petrochemicals between November 2007 and 2008. Further, loans worth ₹98.83 crore, taken by Navi Mumbai SEZ Pvt. Ltd., were allegedly laundered through Mauritius and Sharjah. Between 2010 and 2017, Jai Corp Ltd. and its promoters purportedly exported goods to Australia and the USA using fake invoices, diverting funds for personal enrichment.
The case has been registered under various sections of the Indian Penal Code, including 120-B, 420, 465, 467, 468, and 471. A Special Investigation Team (SIT) led by senior CBI officials has been constituted to probe the matter.
Jai Corp shares hit the 5% upper circuit in early trading following the news, reaching ₹102.59. The stock had opened at ₹98.00 and saw a high of ₹102.59.
Disclaimer:
The information is based on the FIR registered by the CBI and allegations mentioned therein. The accused individuals and entities are presumed innocent until proven guilty in a court of law.
