Shilpa Shetty & Raj Kundra in Hot Water: LOC Issued in ₹60 Crore Cheating Case

Bollywood star Shilpa Shetty and her businessman husband Raj Kundra are once again under the scanner, this time in a massive ₹60 crore cheating case. The Mumbai Police have issued a Lookout Circular (LOC) against the couple, sending shockwaves across Bollywood and business circles alike. The move is a clear indication that authorities suspect the duo may attempt to leave the country amid the ongoing investigation.

The Allegations

The case originates from a complaint filed by businessman Deepak Kothari, director of Lotus Capital Financial Services. Kothari claims he was persuaded to invest nearly ₹60 crore into the couple’s venture, Best Deal TV Pvt. Ltd., in 2015. Initially pitched as a loan of ₹75 crore with 12% interest, the deal allegedly transformed into an “investment scheme” promising monthly returns and repayment of the principal amount.

According to the complaint, ₹31.95 crore was transferred in April 2015, followed by another ₹28.53 crore in September the same year. However, neither the returns nor the principal were paid back. In 2016, Shilpa Shetty reportedly signed a personal guarantee, but later resigned from her director role. By 2017, the company faced insolvency proceedings.

The Legal Heat

The Mumbai Police have booked the case under sections 403, 406, and 34 of the Bharatiya Nyay Sanhita (BNS)—serious charges relating to criminal breach of trust and misappropriation. The issuance of an LOC means immigration authorities will be alerted if Shetty or Kundra attempt to leave India. Given their frequent international travel, this is seen as a precautionary but significant move.

The LOC has sparked fierce debate. Why issue such a strong step if the couple truly intended to cooperate with investigators? Critics say this indicates the police are taking no chances, especially with Raj Kundra’s notorious history of legal controversies.

The Couple’s Defense

Through their lawyer, the couple has denied all allegations, calling them malicious and baseless. They argue the matter was already settled through the National Company Law Tribunal (NCLT) in October 2024, and claim the ₹60 crore was an equity investment—not a fraudulent loan. They insist all documents have been submitted to authorities, accusing the complainant of dragging the matter into the media to pressure them.

Adding Fuel to the Fire

Amid this storm, Shilpa Shetty announced the closure of her popular Mumbai restaurant Bastian Bandra, calling it “the end of an era.” While she emphasized the shutdown had nothing to do with finances, the timing of the announcement has fueled speculation. Shetty also revealed plans to launch a new South Indian restaurant at the same location, while relocating the Bastian brand to Juhu.

The Bigger Question

This isn’t the first time Raj Kundra has faced serious charges—his arrest in the 2021 pornography racket and his name surfacing in a Bitcoin laundering case have already tarnished his public image. Now, with Shilpa Shetty directly named in a ₹60 crore case, the couple’s credibility is hanging by a thread.

Conclusion

The LOC marks a new low for one of Bollywood’s most glamorous couples. While their defense portrays them as victims of a vindictive complaint, the sheer scale of the alleged fraud raises serious questions. Did Shilpa Shetty and Raj Kundra knowingly mislead investors? Or is this yet another case of a high-profile couple being targeted because of their fame?

Whatever the truth, one thing is certain—this legal saga will not fade quietly. Shilpa Shetty and Raj Kundra’s fight for survival is only beginning, and Bollywood is watching every move.