Rohini Singh is an investigative reporter who worked at the Economic Times resigned there and now written in wire bjp top man president of the party Shah's family murkier business empire.
In 2011, she broke the story of Robert Vadra’s business dealings with DLF. Splco brings the condense format of her report in two articles.
Temple Enterprise was incorporated in 2004 with Jay Shah and Jitendra Shah listed as its directors. BJP president Amit Shah’s wife, Sonal Shah, also has a stake in the company.
Company balance sheets and annual reports obtained from the RoC reveal that in the financial years ending March 2013 and 2014, BJP president Son Shah’s Temple Enterprise Private Ltd. engaged in negligible activity and recorded losses of Rs 6,230 and Rs 1,724 respectively.
In 2014-15, it showed a profit of Rs 18,728 on revenues of only Rs 50,000 before jumping to a turnover of Rs 80.5 crore in 2015-16.
The astonishing surge in Temple Enterprise’s revenues came at a time when the firm received an unsecured loan of Rs 15.78 crore from a financial services firm owned by Rajesh Khandwala, the samdhi (in-law) of Parimal Nathwani, a Rajya Sabha MP and top executive of Reliance Industries.
One year later, in October 2016, however, Jay Shah’s company suddenly stopped its business activities altogether, declaring, in its director’s report, that Temple’s net worth had “fully eroded” because of the loss it posted that year of Rs 1.4 crore and its losses over earlier years.
The massive increase in revenues is described in the filings as coming from the “sale of products”. This included Rs 51 crore of foreign earnings, up from zero the previous year.
The filings also reveal an unsecured loan of Rs 15.78 crore from a listed entity, KIFS Financial Services. The revenue of KIFS Financial Services for the same financial year when the loan was given was Rs 7 crore.
The annual report of KIFS Financial Services(KIFS) also does not reflect the Rs 15.78 crore unsecured loan given to Temple Enterprise. KIFS, a non-banking financial company (NBFC), has had run-ins with SEBI in the past.
Rajesh Khandwala, the promoter of KIFS Financial Services, Khandwala’s daughter is married to Parimal Nathwani’s son. Ahmedabad-based Nathwani heads the Gujarat operations of Reliance Industries and has operated for years at the intersection of business and politics. He is an independent member of parliament from the upper house. His re-election to the Rajya Sabha in 2014 was supported by BJP legislators in Jharkhand.
Kusum Finserve is a limited liability partnership incorporated in July 2015 with Jay Shah owning a 60% stake in it. It was formerly a private limited company, Kusum Finserve Private Ltd, before being converted into an LLP. The private limited company also got inter-corporate deposits from KIFS Financial worth Rs 2.6 crore in FY 2014-15. The partnership generated Rs 24 crore as income as per its last filings.
The filings also reflect an unsecured loan of Rs 4.9 crore but do not specify from whom. For continuation