Two senior employees of the Rs 2000-crore Ahmedabad-based IT firm Sai Infosystems (India) ltd (SIS) have filed a criminal complaint against their missing Chairman & Managing Director Sunil Kakkad and his brother Samir Kakkad, who is also director in the company with Ahmedabad Joint Commissioner of Police (Crime Branch).
According to the complaint lodged by Amit Mathur, who is associate vice president, and Sangeet Nigal, who is senior vice president in SIS, their bosses have cheated and harmed employees, vendors, dealers, Government authorities and financial institutions by transferring Rs 40 crore to other privately-owned companies. Apart from Kakkad brothers, complaint has also been filed against two other directors Prem Behl and CMD’s personal assistant and senior manager Baageshee Bhupen Savani.
The fund was illegally transferred between June 14 and 28 this year, said the complaint.Interestingly, the CMD of the company and other top officials went missing from June 28, leaving more than 1,400 employees of the firm in lurch. Income Tax Department and financial institutions like the State Bank of India have already slapped notices have for recovery and dues. Apart from Ahmedabad, the company has offices in Vadodara, Mumbai, New Delhi, Goa, Jaipur, Pune, Bhopal and Hyderabad.
In the interest of 1,400 employees, National Council for Civil liberties (NCCl), an NGO based in Ahmedabad and headed by VK Saxena is providing legal and research support to the complainants. “We gave our expertise to prepare 14-page comprehensive complaint with 56
pages of supporting documents,” said Saxena.
“Kakkad brothers, Behl and Ms Savani, in collusion with their personal finance consultant Mihir Jitendra Patel and other auditors, have fudged the accounts and created false and fabricated accounts. They portray a very rosy picture as if the company is showing excellent performance and on the basis thereof, procured several contracts from the Maharashtra, Gujarat & Madhya Pradesh. The audited balance sheets for the last two fiscal years of this organisation were manipulated to reflect huge profits and to defraud the employees, bankers, creditors, vendors and Government-owned companies,” says the complaint.
With the intention to siphoning the funds of the company and to cheat the employees and financial Institutions, Kakkad developed three foreign companies namely SIS Global (USA), INC in Oak Brook, Illinois, SIS Global (FZE) in the UAE and Kompac Technologies ltd, Hongkong.
According to the complainant, it is not worthy that when the company was not in a position to pay salary of staff and was defaulting in payment to statutory authorities from September 2012, these huge investments in subsidiary companies and in mutual funds. Mathur and Nigam have also forwarded copy of complaint to the Gujarat Chief Minister. They have demanded that the FIR be registered against Kakkad brothers and others under Section 120-B,114, 34, 379, 406, 420, 465, 467, 468,471 & 474 etc of the IPC and till the probe is on bank accounts of the subsidiary companies of Kakkad be freezed with immediate effect.