Surat firm dupes big diamond trader from BKC of ₹18.07 crore

THE ACCUSED FIRM’S EMPLOYEES TOOK THE DIAMONDS UNDER THE PRETEXT OF POLISHING AND SELLING THEM

MUMBAI: Mahendra Brothers Exports Pvt Ltd, a top supplier of diamonds, lodged a complaint with the Bandra Kurla Complex (BKC) police after a Surat-based firm, D Chetan & Company, cheated it of ₹18.07 crore.

The accused firm’s employees took the diamonds under the pretext of polishing and selling them. However, they allegedly did not make the payment, which caused a loss of ₹18.07 crore. The economic offences wing (EOW) is investigating the case.

Mahendra Brothers Exports, lodged a complaint through their group advisor Hiten Mehta.

An FIR was filed against Ghanshyam Kevadiya, Dinesh Kevadiya and Harikrishna Kevadiya of D Chetan & Company under section 406 (criminal breach of trust), 420 (cheating) and 34 (common intention) of the Indian Penal Code.

The case was then transferred to the EOW, general cheating unit.

In his complaint (of which, HT has a copy) to the police, the complainant stated that in 2107, the Kevadiyas had visited the Mahendra Brothers office in BKC and claimed they had been in the business for a long time and they also polished and sold diamonds.

“The accused told the directors that they have good relations with top diamond business firms and gained their trust,” Mehta said in a statement.

Overtime, the Mahendra Brothers made deals with the Kevadiyas, who also bought diamonds from them promising to make the phase-wise payment later.

In the FIR, Mehta said the Kevadiyas did not return diamonds worth ₹12.6 crore, which were given to them between April to June 2018 for polishing.

The payment for diamonds worth ₹6.01 crore sold to them (between March-july 2018) was also not received. The complainant alleged the Kevadiyas delayed the payment.

A few months later, the Mahendra Brothers realised that the Kevadiyas had cheated them to the tune of ₹18.07 crore after which, they filed a complaint. When HT contacted Ghanshyam Kevadiya, he said, “We have already settled the matter. I am surprised that they have filed a criminal complaint. We and the Parikhs [directors of the complainant company] sat together and came to a settlement. It’s been more than a month.”