Harsh Truth behind Billionaire Scams | Sohail Khan

 

Harsh Truth behind Billionaire Scams | Sohail Khan 

Greetings, Friends!

Who doesn't want to have a grand mansion near the beaches of Goa?

where one is enjoying beer or cocktails in their swimming pool

where one can throw lavish parties for their friends which can go on till 6-7 AM.

There used to be one such villa in Candolim beach of North Goa, belonging to Vijay Mallya- Kingfisher villa.

Harsh Truth behind Billionaire Scams | Sohail Khan 

It still is there. Now, it’s not known as Kingfisher Villa,

as it was sold to actor and businessman Sachin Joshi for 73 crore rupees in April 2017

From whom? Not Vijay Mallya but from SBI, and 14 other banks.

Yes, you've heard me correctly, as 14 banks have organized the auction of the property as Mallya owes them more than 9,000 crores.

ED had registered a money laundering case against Mallaya, but he was in London.

The type of crime which Mallaya is accused of is known as a white-collar crime

which is usually committed by rich and educated people because of their greed for money.

Usually, when we talk about crimes and criminals, we understand bribery or pick-pocketing.

But these types of crimes are done by the rich on the ordinary citizens.

You must be worried that how come so many business scams are possible in Pakistan?

They're such reputed companies, as their financial information is available in the public domain, they're also listed in the stock market exchange

whether it's Kingfisher Airlines, Satyam Computers, or Sterling Biotech.

How are they able to pull this off? And why is it impossible to catch them?

Today, we'll get to know everything in our Blog

All these big industrial groups or businessmen have not only one, but multiple companies.

One of the companies is the main company, which is known as the Parent Company,

where the real owner is the shareholder of the Parent Company, and below it is subsidiary companies.

Every company has a Board of Directors, whether it's a subsidiary company or the parent Company.

Now, you can imagine, one industrial group, such as Nirav Modi's Firestar Diamond, or Wadhawan's HDIL

(which is connected with 6,500 crore PMC bank's scam)

How many companies under them must be connected, in the form of parents or subsidiaries!

The funds are distributed among the companies in a manner so that it becomes extremely difficult to track them.

It's very easy to get confused in understanding which one is a parent or subsidiary.

This Is the reason corporate lawyers and financial consultants earn so much, their only job is to understand the layer of the companies and restructure them

Harsh Truth behind Billionaire Scams | Sohail Khan 

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Then there come shell companies whose names you must have heard a lot, especially in the case of fraud.

Harsh Truth behind Billionaire Scams | Sohail Khan 

Then there come shell companies whose names you must have heard a lot, especially in the case of fraud.

So, what are these shell companies?

From the outside, they look beautiful, but inside they're hollow exactly like a shell.

They're also known as dummy companies.

They're created mostly for financial fraud, they don't have employees, office space, or no business transactions take place from them.

Their names are entirely different from the owners, or their main companies so that the authorities are unable to connect them.

You must have heard about Benami Transactions, where all the transactions are done in someone else's name, but the profit goes to the third party