DSK is proud of his Sins but investors are in hell .
Yes , that’s true !
DSK’s downfall began when they started diverting investor’s funds from their original business of real estate to other business. That was their first sin.
Then they started envying their original business of real estate and diversified (?) to other businesses.
However all of these businesses were milked by DSKDL only.
One of the DSK group companies’ is Talisman Hospitality services pvt. Ltd ( THSPL)
THSPL runs a restaurant cum night club called ‘Sin Envy Pride’ .It opens late in the evening.
Programs like Misbehave Wednesday, Thrifty Thursday, sinful Saturday, sinset Sunday are organised here. Many times free liquor is offered to Ladies.
This restaurant entity is very small compared to other DSK businesses. However Reason behind writing this in detail is, like other business funds from DSKDL funds were also diverted to this restaurant.
DSKDL has signed an agreement with this restaurant for availing restaurant/ hotel/ hospitality/ conference room services at the normal terms as offered to the independent customers up to an aggregate amount not exceeding 25 lac rupees.
What would have the ordered from this restaurant which opens at 8 P.M
Though 25 lac rupees is very small amount but this is how DSKDL’s crores of were diverted to DSK Family’s private limited companies and partnership firms.
Here are some more examples of money siphoning
DSK Motors Pvt. Ltd –
1. For Purchasing cars at prices at prevailing market rates at the value not exceeding `1 cr.
2. For Availing spares and servicing facility for all the motor vehicles of Toyota make at the card rates offered by DSK Toyota at the value not exceeding 50 lacs.
D. S. Kulkarni & Company –
1. For Sale of flats on c o m m i s s i o n calculated at the rate of 3% of the total costing of the project, total commission not exceeding 46,29,240/ (DSK Sadaphuli )
2. For Sale of flats on c o m m i s s i o n calculated at the rate of 3% of the total costing of the project, total commission not exceeding `1,68,63,860/- (DSK Chaitraban)
D. S. Kulkarni & Associates
1. For Sale of flats on c o m m i s s i o n calculated at the rate of 3% of the total costing of the project,total commission not exceeding 1,68,90,380/- (DSK Pushpaban)
DSK Global Education and Research Ltd.
1. For Sale of flats on c o m m i s s i o n calculated at the rate of 3% of the total costing of the project,total commission not exceeding ` 1,74,86,670/- (DSK Anandghan)
DSK Global Education and Research Ltd
1. For Availing cafeteria facility for an amount of ` 100/- per day, per head at the normal terms offered by the said DSK Global and on an arm’s length basis at prevailing market prices, for an aggregate amount not exceeding ` 40,00,000/- ( DSK Dream City)
DSK Worldman Projects –
1. 1. for Sale of flats on commission calculated at the rate of 3% of the total costing of the project, total commission not exceeding 47,83,485/-
You will find entire list of money siphoning in the year of 2015 -2016 here
Interestingly company having in business of real estate does its own office . It has taken premises for offices on rent from D S Kulkarni & Associates, D S Kulkarni & Company and Hemanti Kulkarni etc.
And off course heavy rent is being paid as rental amount to these entities
Since DSk scam has been exposed there is flood of rumors and misleading statements on social media.
Now the scam has taken interesting but dangerous turn. There are hardly any chances that investors wiil get all their money back.
However DSK well-wishers and supporters are turning blind eye on naked facts.
It has been now crystal clear that DSK’s liabilities are far more than his assets .
DSK’s liabilities are around 6,000 Crore rupees ( six thousand crores) while his assets are not more than 1,000 Crore ( One thousand crore Rupees)
Secured charges of all the banks on DSK and their Private limited Companies are around 2992.84 Crore ( Two Thousand nine hundred and ninety two crores rupees) .
This is not exaggerated figure this information is available on website ministry of corporate affairs .
Apart from that DSKs partnership firms must be having loans and liabilities, but that info is not available.
DSK’s partnership firms include DSK & Co, Amit & Company, Gharkul, Rasa Group, D.S. Kulkarni & Brothers, D.S. Kulkarni and Sons, DSK & Sons, D.S. Kulkarni & Company, D.S. Kulkarni & Associates, DSK & Associates, DSK Sales & Services
Besides that fixed deposits from public estimated at around Rs1,000 crore, unsecured loans of Rs1,100 crore, non-convertible debentures (NCDs) of Rs140 crore, statutory liabilities of Rs100 crore, money received from customers Rs815 crore.
This total goes to more than 6,000 crores ( six thousand crore rupees)
DSK’s assets are not more than 1000 Crore rupees.
However for sake of argument if we agree with DSK supports that his assets are worth 1800 crore rupees even than that is not sufficient to clear bank loans .
Then Forget about returning investors money.
Instead of facing truth they are busy in spreading rumors and misleading other investors.
On last hearing on D S Kulkarni’s anticipatory bail in high court APP has categorically submitted that the Investigating Officer has just now arrived in the Court and he has to take instructions and peruse the record. And at his request case was adjourned till 17 November .
Till then interim relief was granted to DSK and condition was imposed on him that he shall not tamper with the evidence and/or pressurize or threaten the prosecution witnesses.
However immediately after hearing news appeared on social media as if court itself asked DSK to come with concrete proposal.
What could be the reason behind spreading such news ?
One thing is clear for DSK legal option of getting rid of this situation have become narrower , hence he is finding emotional option.
Immediately after HC hearing DSK supporters became active they started signature campaign to support him. Started calling people to convince them.
Even DSK also became active on social media appealing investors.
However these things are not going to work for DSK.
Whether he gets or not anticipatory or regular bail is not going to affect case, it will continue.
Another funny thing is , the DSKDL’s board meeting scheduled on 14th November for the quarter ended 30 September 2017 and Annual General Meeting for FY2016-17was postponed indefinitely .
The reason given for postponement was interesting , It said ““A complaint has been lodged by the deposit holder with the EOW of Maharashtra Police in connection with non-refund of deposit by two promoter group entities. The promoter group entities are not this listed company. In the process of investigation, the EOW has taken into custody, the accounting, secretarial and other records, both physical as well as electronically maintained, of the group entities including this company. The appeal for release of records by EOW is been made and is in process of preparation.
FIR was filed against DSK on 28th October .
The police searched DSKDL properties on 2nd November.
Even then in pune special court submitted proposal to return invertors money in High Court also he is ready to submit proposal.
On both these occasions DSK didn’t find any difficulty in submitting proposal despite record seizures.
But for Board and AGM meeting he finds difficulty.
Reason is obvious!
If they conduct AGM then audit report will have to be submitted and if last years audit report is out Pandora’s box will open, because auditors have already clarified that they were not satisfied with the accounts submitted by DSKDL and also put question mark on companies’ ability to continue business.
Now its up to DSK's investors to open eyes ot to keep faith on rumors.
Already more than 3000 complaints ave been filed against DSKs in all over Maharashtra.
Government of Maharashtra has also decided to appoint a single monitoring agency to look in into progress of the probe and to rope in multiple agencies like RBI , SEBI , RoC.
One thing is for sure as money involved in DSK scam is huge !
However that money has not been vanished in air.
It must be somewhere
And only way to find out that money is Maharashtra Protection Of Interest Of Depositors Act (mpid) Act !
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