April 15: The raids on five premises this week have revealed that the company had issued cheques to various entities purportedly supplying small gift items to Baron. Several of these entities are bogus or their addresses are not to be traced. The cheques were deposited in accounts held by these entities and the money has been withdrawn, sources said. Baron has so far not produced any evidence to prove their purchases were genuine.The money is suspected to have been siphoned out thorugh these accounts. The purported suppliers are very small entities who do not show signs of having done business on such a large scale with Baron. Some of the addresses and names furnished by Baron have done no business with them, revealed sources.
Several statements have been recorded, including that of Baron's CEO Kabir Mulchandani.
Copyright © 1999 Indian Express Newspapers (Bombay) Ltd.
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