Delhi Police has taken a significant step by registering a First Information Report (FIR) against Pawan Munjal, the Chairman of Hero MotoCorp Ltd, based on allegations of forgery and fraud. The FIR has been lodged at Delhi’s Vasant Kunj police station, according to media reports.
Relating to a Historical Matter
The FIR pertains to an older case that dates back to a period before 2010. The charges outlined in the FIR, filed on October 5, accuse Pawan Munjal of involvement in alleged activities, including forgery, deception, and manipulation of accounting records. These alleged activities are said to involve transactions with a total value of INR 5.94 crore, along with a claimed tax credit of INR 55.5 lakh linked to these transactions.
Unrelated to Ongoing Investigations
Sources within Hero MotoCorp have clarified that this case is unrelated to any ongoing investigations or tax probes. The company emphasized that the matter in question has its origins in the past and should not be conflated with current issues.
Stock Market Impact
In response to this development, Hero MotoCorp’s stock on the BSE experienced a decline of nearly 3%, with trading prices reaching INR 2,954.35.
Hero MotoCorp responded to the development, stating, “This is to inform that it is an old matter pertaining to the year 2009-10 with a disgruntled service provider, Brains Logistics Pvt. Ltd. (Promoter – Roop Darshan Pandey). It may also be noted that while the complainant has mentioned company officials in the complaint, however, no official has been named in the FIR. In 2013, Hero MotoCorp also registered an FIR against them and the matter is ongoing before the competent court.”
Previous Money Laundering Investigation
It’s worth noting that in August, the Enforcement Directorate conducted search operations involving Pawan Munjal and other individuals as part of a money laundering investigation. These searches took place at various locations in Delhi and Gurugram, conducted in accordance with provisions outlined in the Prevention of Money Laundering Act (PMLA). The investigation stemmed from a complaint filed by the Directorate of Revenue Intelligence (DRI) against an individual allegedly associated with Munjal, who was being probed for carrying undeclared foreign currency.