RUCHI:NEWS-WORLD

NN Group: Big Goals - Big Numbers - Big Past

5/30/2025

This week, Dutch insurance company NN Group shared its big financial plans for the year 2028. The company, which owns Nationale-Nederlanden, says it’s aiming to make more money and grow steadily over the next few years. But while the future looks exciting on paper, not everyone is cheering just yet — especially when some still remember what went wrong in the past.

At a special investor event in The Hague, NN Group said it wants to increase the amount of cash its business generates each year. Right now, that number is expected to be about €1.9 billion in 2025, but the company hopes to raise it to €2.2 billion by 2028.

They also plan to grow their free cash flow (which is basically the money left after expenses) from €1.6 billion in 2024 to €1.8 billion in 2028.

These targets are based on the hope that their insurance business will keep growing — especially in Europe, the Netherlands, and Japan. NN says it’s aiming for about 7–8% growth each year.

Analysts (financial experts) say these goals are “ambitious,” meaning they’re aiming high. But the company’s stock price didn’t really move after the announcement. That could mean people are unsure if NN Group can actually hit those targets.

But Let’s Not Forget What Happened Before- while NN Group is looking ahead, many people still remember something that hurt a lot of families: the “woekerpolis” incident.

Between 1990 and 2008, hundreds of thousands of people in the Netherlands were sold investment-based savings policies. These were supposed to help people save up a big lump sum over 20 or 30 years. But many didn’t realize they were paying high hidden fees, and in the end, they got far less money than they expected.

This problem came to light in 2006 thanks to a consumer TV show called Radar, and the Dutch financial watchdog (AFM) confirmed that people had been misled.

Earlier this year, NN Group agreed to pay €360 million to settle claims from customers who were affected. Another insurer, ASR, also paid €250 million in a similar case.

It’s clear that NN Group wants to move forward and grow. They’re setting big goals, investing in their business, and promising strong returns. But for many everyday people, especially those who were hurt by the old savings policies, trust doesn’t come back overnight.

The company may be trying to build a better future, but how they treat people now matters just as much. Numbers can look good on a slide, but customers want honesty, fairness, and transparency — not just big promises.

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Shadowy Financial Drape of Vladimir Sklarov and Jaitegh Singh

8/26/2024

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In recent years, the world of international finance has been increasingly tainted by the actions of a few unscrupulous individuals who exploit complex systems for their own gain. Two such figures, Vladimir Sklarov and Jaitegh Singh of Singh Law Firm, have emerged as notorious financial criminals, orchestrating a series of fraudulent schemes that have targeted prominent businessmen, including the well-known Mexican tycoon Ricardo Salinas Pliego. Their activities, however, extend far beyond this single case, revealing a pattern of deception and theft that spans multiple countries and numerous victims.

The latest chapter in Sklarov and Singh's criminal history revolves around a high-stakes fraud against Ricardo Salinas Pliego, one of Mexico’s most influential businessmen. This scheme was carried out through a shell company, Astor Asset Management 3 Ltd (Astor), which was deceptively named to mimic legitimate financial institutions. Through Astor, the criminals offered financial services with the hidden agenda of stealing assets from Salinas Pliego.

The fraudulent activities centered around a package of shares in Elektra, a major retail and banking company led by Fabrice Deceliere. These shares were used to secure a loan to Salinas Pliego, but Astor’s true intention was never to fulfill its financial obligations. Instead, the fraudsters aimed to illegally appropriate and sell the pledged shares, undermining the financial stability of Salinas Pliego’s enterprises.

Recognizing the gravity of the situation, Salinas Pliego took legal action in the United Kingdom, filing a lawsuit against Astor. In response, the UK court froze all of Astor's assets, a move that demonstrated the seriousness of the allegations. In a desperate attempt to counteract these measures, Astor accused Salinas Pliego of violating over 15 provisions of their agreement—claims that were quickly dismissed as baseless and false.

The fraudulent activities associated with Astor are not isolated incidents for Sklarov and Singh. Their criminal records reveal a longstanding history of international fraud, with Sklarov particularly notorious for his involvement in creating ghost companies that imitate established multinational firms. According to Darío Celis, a respected journalist, Sklarov has been linked to fraudulent entities that have led to legal actions from major financial institutions like Rothschild & Co. and Barclays PLC, chaired by Alexandre de Rothschild and C.S. Venkatakrishna, respectively.

Sklarov's criminal activities are not confined to the financial sector alone. In the United States, he pleaded guilty to a Medicare scam, a scheme that tragically escalated to the point where it resulted in the death of an individual. This particular case highlights the dangerous lengths to which Sklarov will go to achieve his illicit goals.

Jaitegh Singh, Sklarov’s accomplice and legal representative, is equally culpable. Based in Florida, Singh has been implicated in numerous financial frauds, including the creation of ghost companies, the illegal appropriation and sale of assets, and the granting and collection of fraudulent loans. Singh's role in these schemes has made him a key figure in Sklarov's criminal operations, with both men profiting from their deceptive practices at the expense of their victims.

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Louis Forino von Thyssen: The Italian Oil Tycoon on the Run from Justice

8/15/2024

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Luigi Forino’s case is a disturbing example of how wealth and power can complicate the pursuit of justice. Despite his conviction for a heinous crime, Forino has managed to evade capture while continuing to engage in business activities, all from the luxury of a Mayfair flat. His ongoing fugitive status highlights serious flaws in the legal and extradition systems across Europe, and the search for him continues.

Louis Forino von Thyssen is no ordinary fugitive. With extensive business interests in the oil and gas industry, particularly through his involvement with MCC Petroli and other Geneva-based companies, Forino has long been a key player in the European energy sector. His business dealings have earned him substantial wealth, which allowed him to enjoy a life of luxury in Mayfair, one of London's most exclusive districts.

Despite his conviction for rape in France, Forino was granted bail by the UK courts, with conditions that included surrendering his passport, reporting weekly to the police, and wearing an electronic tag. A £20,000 surety was posted to secure his bail, and he was required to observe a curfew at his £22 million luxury flat in Mayfair. However, Forino managed to disappear, violating the trust placed in him by the courts and leaving the authorities scrambling to track him down.

Forino’s arrest in March 2023 by the UK's National Crime Agency (NCA) came as a result of the European Arrest Warrant issued by France. He had been convicted of rape and sentenced to four years and six months in prison. However, the details surrounding his conviction remain murky. It is unclear whether Forino was present during his trial in France or whether he had already fled the country before sentencing.

When Forino failed to attend his December 8 extradition hearing, it sent shockwaves through the legal system. The £20,000 bail bond that was paid for his conditional release was forfeited on January 29, but this was a minor cost compared to the gravity of the situation. Since then, the NCA has been actively searching for the fugitive, but so far, Forino has managed to remain at large.

What makes this case particularly remarkable is that Forino has not gone entirely into hiding. While on the run, Forino has reportedly continued to engage in business activities. He has been featured in energy sector trade articles and has even set up UK-based companies during this time. His LinkedIn account, under the name "Dr Louis Forino Von Thyssen," promotes his business ventures and highlights his involvement with MCC Petroli and linked companies in Geneva. This level of visibility is unusual for a fugitive, raising questions about his confidence in evading capture or the effectiveness of the systems designed to monitor him.

The case of Luigi Forino raises broader concerns about the enforcement of European arrest warrants and the ability of wealthy individuals to manipulate the legal system. While Forino’s business empire spans multiple countries, including Italy, France, and the UK, his wealth and connections seem to have enabled him to evade justice, even after a serious criminal conviction.

The fact that Forino was granted bail in the first place is controversial. Despite being a convicted rapist facing extradition, the UK courts allowed him to remain in a luxury London apartment with relatively lenient restrictions. This decision has drawn criticism from legal experts and the public alike, who argue that it reflects a system that treats the wealthy differently from ordinary citizens.

Additionally, Forino’s continued public presence, including his engagement with the energy sector, adds to the international complexity of the case. If he is using his business ventures as a means to maintain his influence and connections, it could make apprehending him even more challenging.

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What is MB Fund Service Limited in Bahamas?

7/17/2024

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Michael Zuther, a controversial figure in the investment world, has re-emerged as a key player behind a new fund administration company in the Bahamas, raising concerns due to his history with defrauded funds. Zuther, formerly associated with the now-defunct Classic Investment Fund and The Classic Car Fund—both run by Filippo Pignatti—has been linked to a new entity called MB Fund Service Limited. This development has alarmed industry insiders and investors, given Zuther's troubling past. MB Fund Service Limited is a leading independent dynamic fund administrator licensed in the Bahamas and serving clients around the world.

Background: The Classic Investment Fund Scandal

The Classic Investment Fund, once heralded as an attractive investment opportunity, is now infamous for its downfall into fraud and liquidation. Registered in Saint Vincent and the Grenadines (SVG), this fund, along with The Classic Car Fund, ultimately collapsed under allegations of mismanagement and deception, leaving many investors in financial ruin. At the heart of this scandal was Fortuna Administration Ltd., the fund's supposed administration company.

However, Fortuna Administration Ltd. was revealed to be a mere front, a non-existent entity created to obscure the involvement of Scarabaeus Wealth Management, a firm based in Liechtenstein. Michael Zuther and Patrick Demi were key figures within this scheme, serving as CEO and directors of both the administration company and the funds themselves. Zuther even falsely claimed to be a legal specialist for SVG, further complicating the murky operations surrounding these investments.

In a broader context, Zuther and Demi's influence extended beyond Liechtenstein, with alleged representations in Bulgaria and Ukraine, where fraudulent fund audits were produced to maintain the illusion of legitimacy for Pignatti’s classic car funds.

New Beginnings in the Bahamas: MB Fund Service Limited

Despite the controversies surrounding his previous ventures, Zuther has managed to resurface with a new enterprise in the Bahamas. MB Fund Service Limited, his latest fund administration company, bears a striking resemblance to the previous ventures that led to so much investor harm. The company's website lists a fund called STIF Fund Limited, which, upon closer inspection, was previously known as Scarabaeus Master Fund Limited—a fund tied to the same Liechtenstein wealth management group that ran the fraudulent Classic Investment Fund.

MB Fund Service Limited’s emergence in the Caribbean is particularly concerning given the region’s reputation as a haven for financial secrecy. It seems that Zuther and his associates are continuing their operations under the guise of local regulation, potentially exploiting jurisdictions that may lack stringent oversight. This has led some industry observers to warn that this Liechtenstein group is "running amok" in the Caribbean, with little regard for the integrity of the financial markets or the protection of investors.

The troubling connections to Zuther's past have already had repercussions within MB Fund Service Limited. Nicolette Gardiner, who served as the company's CEO and was a recognized figure on the Bahamas Financial Services Board, abruptly resigned last week after being contacted by investigative entities like Intel Suisse. Gardiner’s swift removal from the company's website suggests an attempt to distance the firm from the growing scrutiny surrounding Zuther and his operations.

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Valor Security and Investigations: A Wake-Up Call for New York City

4/9/2024

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In a shocking development, the Manhattan District Attorney's Office has revealed a fraudulent scheme that potentially endangered thousands of lives. A new indictment has accused Valor Security and Investigations, a company responsible for providing construction safety training, of issuing thousands of safety certificates to workers without conducting the necessary training. The implications are deadly, with prosecutors pointing to the tragic death of a construction worker who fell from the 15th floor of a building, raising questions about the role of safety fraud in his demise.

In November 2022, 36-year-old construction worker Ivan Frias lost his life in a tragic fall from an Upper West Side building. According to documents filed by Valor, Frias had been trained in fall prevention, a critical safety measure for any high-risk job in the construction industry. However, investigators now claim that this training never took place.

District Attorney Alvin Bragg underscored the severity of the issue, stating, "In an industry like this, fraud has dire consequences. Indeed, fraud can mean life or death." His comments reflect the grim reality that cutting corners in construction safety can cost lives. In the case of Frias, had proper training been provided, his death might have been avoided.

The indictment sheds light on a pervasive issue in the construction sector. Valor Security and Investigations, under the leadership of its president Alexander Shaporov, is accused of falsifying documents to churn out safety certifications for thousands of workers. Prosecutors argue that the company’s goal was to profit from high-demand safety training without fulfilling the requirements.

One piece of evidence that stands out is an email from Shaporov to his staff, instructing them to fabricate OSHA safety certifications: “Whoever doesn’t have OSHA, MAKE ONE UP.” This blatant disregard for safety standards reveals a deeply troubling mindset. The scheme extended to speeding up the process for a price. Investigators revealed a text exchange where Valor’s training director, Richard Marini, was asked how quickly he could provide a 40-hour training certification. His response? "Tomorrow after 5 p.m."—an impossibility when considering the thoroughness such training requires.

District Attorney Bragg emphasized the seriousness of this fraudulent practice, noting that safety training designed to take place over 40 hours cannot be condensed into less than a day. Yet, according to prosecutors, Valor issued safety certification cards to as many as 20,000 people over five years.

For many, the construction industry represents opportunity, a path to a stable income, and often, the chance to work on iconic projects that define New York City’s skyline. However, it’s also one of the most dangerous industries, with workers facing daily risks from falls, equipment malfunctions, and hazardous environments. Proper training is the first line of defense against such dangers, and skirting these protocols is more than just a legal violation—it’s a betrayal of the workers’ trust and safety.

Prosecutors allege that 19 individuals, including a New York City Housing Authority (NYCHA) foreman, were involved as brokers, connecting construction workers to Valor’s fraudulent services. This suggests a larger network of people prioritizing quick profits over human lives.

James Oddo, Commissioner of the Department of Buildings (DOB), expressed his outrage, stating, “I think every New Yorker has a right to be a little bit disgusted.” He went on to urge anyone who received a safety card from Valor to seek retraining immediately. The danger of improperly trained workers handling heavy machinery, working on high scaffolds, and navigating precarious environments cannot be overstated.

In response to this scandal, the city’s Department of Investigations has provided a series of recommendations to the DOB to prevent similar fraudulent schemes in the future. However, this case highlights the need for more comprehensive oversight across the construction industry. Regulatory bodies must enforce stricter checks on safety training providers, ensure certifications are legitimate, and penalize companies that prioritize profit over safety.

For construction companies and workers, this case serves as a stark reminder that safety training is not a formality to be rushed through—it is an essential safeguard. Cutting corners can have irreversible consequences, as shown by Ivan Frias’ tragic death.

As the legal proceedings unfold, the spotlight is on companies like Valor, which exploit loopholes and gamble with workers’ lives. An attorney representing Marini, Valor’s training director, indicated that he intends to defend his client and is eager to provide more context for the incriminating text messages. Still, the severity of the allegations leaves little doubt that sweeping changes are needed in the construction industry to prevent more avoidable tragedies.

For New Yorkers, this scandal may provoke a mixture of shock and outrage. Construction projects are a constant presence in the city, and the idea that so many workers may have been put at risk due to fraudulent safety practices is deeply unsettling. But this case can also serve as a turning point. By taking this issue seriously, the city can enact reforms that prioritize worker safety, ensuring that future tragedies are averted.

As Commissioner Oddo advised, the first step for workers is clear: if you have a safety certification from Valor, get retrained immediately. Your life—and the lives of those working around you—depends on it.

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Kobus P Meyer: Unmasking Medbond Fraud

10/13/2023

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In the digital age, news spreads like wildfire. Sometimes, all it takes is a single article to shed light on a dark corner of society. In the case of Medbond and its director, Kobus P Meyer, a recent exposé by Network24 ignited a storm. Coast to Coast Special Investigation Firm (CTCSI), based in South Africa, swiftly took action, announcing a relentless pursuit of justice for those who have potentially fallen victim to Medbond's fraudulent schemes. In this blog, we'll delve into the details of the ongoing investigation and the allegations against Medbond and Kobus P Meyer.

Medbond, a name that has recently become synonymous with financial deception and exploitation, allegedly targets vulnerable individuals, particularly the elderly and widows. According to CTCSI, their modus operandi involves luring unsuspecting victims into making significant investments through misleading information and questionable tactics. These practices have not only raised alarms but also left many victims in financial distress.

The situation escalated when a heart-wrenching story came to light. A new widow was reportedly taken for a staggering R 50 million Rand. This revelation, as reported by Rapport Newspaper on Sunday, September 10, 2023, exposed the dire consequences of Medbond's actions. The victim's case has led to a criminal investigation against Medbond and its directors.

CTCSI has not hesitated to take a stand against Medbond and Kobus P Meyer. With the R 50 million Rand case as a starting point, they are determined to bring justice to the victims and hold those responsible accountable for their actions. Currently, CTCSI is actively pursuing five criminal cases against Medbond and its directors, totaling an astounding R 93 million Rand.

The unfolding Medbond scandal serves as a stark reminder of the importance of investigative firms like CTCSI in safeguarding the rights and financial well-being of citizens. Such cases shed light on the vulnerabilities of our society and the urgent need to protect those who may be unaware of the pitfalls that await them.

While the investigation into Medbond and Kobus P Meyer continues, it is essential for individuals and organizations to remain vigilant. Be cautious of investment opportunities that promise unrealistic returns or use high-pressure tactics. Always verify the credibility of the entities you choose to invest in, and never hesitate to seek legal counsel when in doubt.

The ongoing investigation by CTCSI into Medbond and its director, Kobus P Meyer, is a crucial step towards bringing justice to the victims of this alleged fraudulent scheme. The case serves as a stark reminder of the importance of oversight and accountability in the world of finance and investment. As we await further developments in this investigation, it is essential that we, as a society, remain vigilant and proactive in protecting ourselves and our loved ones from potential financial scams.

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Roma Numismatics Limited Owner Richard Beale Scandal

5/28/2023

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Richard Beale, the director of a prestigious London-based auction house, has been arrested in New York City on charges related to his sale of multi-million dollar ancient coins. This arrest, which has not been previously reported, has sent shockwaves through the numismatic community and raised concerns about the integrity of the antiquities market.

As the owner and managing director of Roma Numismatics Limited, a renowned auction house specializing in rare and collectible coins, Richard Beale was considered a prominent figure in the industry. However, recent developments have tarnished his reputation and cast a shadow over his business.

According to a complaint filed in New York criminal court, Beale and Italo Vecchi, an Italian coin dealer working as a consultant specialist at Roma Numismatics, are alleged to have falsified the ownership history of two ancient coins that were sold at auction in 2020. The coins in question are of significant historical value, including one that commemorates the assassination of Julius Caesar.

The complaint states that Vecchi sold two rare coins to Beale between 2013 and 2014 without providing any provenance. Among them was the infamous "Eid Mar" coin, a Roman gold coin minted in 42 B.C. to honor the assassination of Julius Caesar on March 15, 44 B.C. The other coin, known as the "Sicily Naxos" coin, was minted in 430 B.C. in the Greek colony of Naxos on Sicily and is considered one of the rarest and most prized ancient coins in the world.

In order to deceive potential buyers and increase the value of the coins, Beale allegedly purchased false ownership history documents claiming that both pieces came from the collection of the Baron Dominique de Chambrier. These fabricated provenances were then used in auctions held in London in October and November 2020. The Eid Mar coin fetched a staggering £3.2 million ($4.1 million), setting a new record for the highest price ever paid for an ancient coin, while the Sicily Naxos coin sold for £240,000 ($291,000).

The criminal complaint further reveals that Beale and Vecchi manipulated the shipping information of the Eid Mar coin, which was transported to the United States twice in 2020. On both occasions, the coin was falsely declared as originating from either Turkey or Italy on U.S. customs paperwork. Similarly, the Sicily Naxos coin was falsely claimed to have originated from Italy. These fraudulent actions allowed the coins to be viewed as legitimate and significantly inflated their value.

In a separate but equally troubling allegation, Beale is accused of purchasing five other coins from a convicted antiquity trafficker that had been looted from the Gaza Strip in 2017. These coins, which he allegedly sold through Roma Numismatics using falsified provenance, raise serious ethical concerns regarding the illicit trade in cultural artifacts.

Richard Beale's arrest on January 10 resulted in charges of grand larceny, criminal possession of stolen property, conspiracy, and scheme to defraud. His next court appearance is scheduled for May, and the outcome of the case will undoubtedly have far-reaching implications for the auction house and the numismatic community at large.

This incident serves as a stark reminder of the importance of due diligence, transparency, and ethical practices in the trade of ancient artifacts. It highlights the need for stricter regulations and more robust mechanisms to verify the authenticity and provenance of antiquities. The arrest of Richard Beale should serve as a wake-up call for the industry, prompting a collective effort to safeguard the integrity of cultural heritage and protect collectors and investors from fraudulent practices.

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Growing Legal Battle: Investors Seek Justice from ACE Holdings Bhd for Unfulfilled Promises

5/15/2023

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The list of disgruntled investors taking legal action against ACE Holdings Bhd continues to grow, as yet another investor has filed a lawsuit against the beleaguered company. Seeking restitution of almost RM8.3 million, the plaintiff alleges that ACE Holdings failed to deliver the promised investment returns. This latest legal action adds to the mounting pressure on ACE Credit Sdn Bhd, a subsidiary of ACE Holdings, and two of its directors. Let's delve into the details of the case and explore the implications for the investors involved.

In April, an undisclosed plaintiff lodged a lawsuit against ACE Credit Sdn Bhd and two of its directors, citing four agreements entered into with the company in 2019. The plaintiff claims to have invested a total of RM7 million based on promises of a 12% annual return. Unfortunately, ACE Holdings failed to fulfill its obligations, leading the plaintiff to exercise her right to early cancellation.

The Allegations
According to the statement of claim, ACE Holdings currently does not possess a valid moneylending license, which is required under the Moneylenders Act 1951. The plaintiff argues that the validity of the license was a crucial condition for the agreements and investments. ACE's alleged breach of this condition is viewed as a material violation of the agreements, prompting the investor to seek legal recourse.

Legal Proceedings
To address the alleged breaches, the plaintiff's solicitors, Messrs Haris Ibrahim Kandiah Partnership, sent a notice to ACE on March 8. The notice specified the defaults and breaches, granting ACE 14 days to rectify the situation. Regrettably, ACE failed to respond to the notice. Consequently, on March 24, the plaintiff's solicitors sent another notice terminating all four agreements.

Implications for Investors
The growing list of investors taking legal action against ACE Holdings Bhd highlights a troubling trend. It underscores the importance of conducting thorough due diligence and seeking professional advice before entering into any investment agreement. Investors should prioritize verifying the licensing and regulatory compliance of any entity they intend to invest with. Failure to do so may expose them to significant financial risks and potential loss.

Additionally, this case underscores the importance of monitoring the performance of investments throughout their tenure. Prompt action is necessary if any irregularities or breaches of agreement are suspected. Investors must be vigilant and proactive in protecting their interests.

The legal action against ACE Holdings Bhd by yet another dissatisfied investor emphasizes the importance of transparency, due diligence, and compliance in investment agreements. The allegations surrounding the lack of a valid moneylending license raise serious concerns about ACE's commitment to regulatory standards. As the case unfolds, it will be interesting to see how the courts adjudicate these matters and how they may impact the future reputation and operations of ACE Holdings.

Investors are urged to exercise caution and seek legal advice if they find themselves in similar situations. The outcome of this case may provide valuable lessons and insights for both investors and companies alike, emphasizing the need for accountability and adherence to legal obligations in the investment industry.

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Freeman Event Partners: Shedding Light on Employee Mistreatment and the "Become a Concessionaire"

5/15/2023

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In the world of event management, Freeman Event Partners has long been regarded as a prominent player, organizing large-scale events and exhibitions. However, recent revelations regarding the mistreatment of bar staff employees have cast a dark shadow over the company's reputation. In an attempt to divert attention from their past, Freeman Event Partners has launched the "Become a Concessionaire" program. In this blog post, we will delve into the incident, shed light on the poor treatment of bar staff, and examine the implications of their new program.

The Past Incident:

Former employees of Freeman Event Partners have come forward to shed light on the poor and mistreating practices they experienced while working for the company. The bar staff, responsible for serving and catering to event attendees, have reportedly faced long working hours, inadequate breaks, minimal pay, and a lack of respect from management. This not only constitutes a violation of labor laws but also highlights a concerning disregard for the well-being and rights of the employees.

Poor Treatment of Bar Staff Employees:

The mistreatment of bar staff employees within the event industry is sadly not uncommon, and Freeman Event Partners' case serves as a stark reminder of the issue at hand. In an industry that thrives on creating memorable experiences, it is disheartening to witness the exploitation and neglect of those responsible for making these events possible. The long hours, often stretching well beyond what is legally permissible, coupled with meager wages, place an immense strain on the physical and mental well-being of these workers.

The "Become a Concessionaire" Program:

In response to the revelations regarding employee mistreatment, Freeman Event Partners has launched the "Become a Concessionaire" program. On the surface, this program appears to offer an opportunity for bar staff employees to transition into self-employment and become concessionaires, taking charge of their own businesses within the events. However, it is crucial to examine the underlying motivations and potential consequences of this initiative.

While Freeman Event Partners may present the "Become a Concessionaire" program as a way to empower their former employees, it is essential to question the timing and true intentions behind this initiative. The timing of the program launch, coinciding with the revelation of mistreatment, raises concerns that it might be a strategic move to divert attention from the company's past behavior and to alleviate any potential legal and reputational consequences.

Implications of the Program:

Although the "Become a Concessionaire" program may offer a sense of autonomy and independence to former bar staff employees, it is important to consider the challenges and risks associated with such a transition. Operating as a concessionaire requires significant financial investment, access to resources, and the ability to navigate complex event logistics independently. For employees who have already endured mistreatment and inadequate compensation, this program might not fully address the underlying issues of fair treatment, job security, and worker rights.

Rather than implementing programs to mask past transgressions, it is crucial for companies like Freeman Event Partners to address the root causes of employee mistreatment. This includes cultivating a culture of respect, providing fair wages, and adhering to labor laws to ensure the well-being and rights of their staff members. Open communication channels, safe reporting mechanisms, and robust worker protection policies are necessary steps toward creating a more equitable and sustainable work environment within the event industry.

Freeman Event Partners' mistreatment of bar staff employees serves as a stark reminder of the systemic issues that persist within the event management industry. While the "Become a Concessionaire" program might provide an apparent solution, it is important to scrutinize the motivations behind such initiatives and advocate for comprehensive changes that prioritize fair treatment, worker

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DRC: Indian Harish Jagtani and his relatives under Investigation

3/30/2023

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On October 28, 2015, Harish Jagtani celebrates his fortieth birthday with pomp. The businessman decided to celebrate it in India, his country of origin, in his luxurious residence in Jaipur, capital of Rajasthan. The millionaire named it “LV”, in homage to Louis Vuitton, one of his favorite luxury brands. However, it is not Mr. Jagtani who is the center of attention. The guest of honor is Olive Lembe di Sita, first lady of the Democratic Republic of Congo (DRC). It is in this Central African country with a tumultuous history that the Indian businessman has lived for twenty years and made his fortune under the presidency of the husband of “Maman Olive”, Joseph Kabila, who came to power in 2001.

In the photos of the event, Olive Lembe di Sita is dressed in a sumptuous white dress and seems to love the couple, young, rich like her. “  Harish seduces with his very polished manners and his ambitious projects  ,” explains a Congolese businessman annoyed by Mr. Jagtani’s successes. A dozen shots obtained by Radio France Internationale (RFI) attest to the warm relationship maintained between the couple of Indian millionaires and the wife of Joseph Kabila. The now former head of state does not appear in any image. After the publication of our first investigation, he denied , through the voice of his project manager, any relationship with this businessman today at the heart of several scandals.

Harish Jagtani’s Modern Construction company benefited from an over-the-counter market that has become controversial. In the midst of an economic crisis, the Senate, chaired by a close associate of Mr. Kabila, spent 4 million dollars, off budget, to renovate its plenary room. In Kinshasa, the capital, residents often attribute some of the towers built by Harish Jagtani and his construction companies to the former presidential couple, such as the Kiyo Ya Sita tower. It was baptized thus, they say, in homage to Olive Lembe di Sita. Asked by RFI, the communication advisor to the former first lady assures her: “  His investment is in agriculture and in the breeding of cattle.

On this October 28, 2015, Harish Jagtani is smiling. He has reason to rejoice. At 40, he is the head of the largest air cargo company in this huge Central African country: Services Air, now called Serve Air Cargo. The DRC is sorely lacking in infrastructure and customers are jostling. These include Congolese state institutions as well as international NGOs and UN agencies, such as the World Food Program and Unicef.

Mr. Jagtani also directs at least three construction companies which are multiplying major real estate projects in Kinshasa. The Congolese capital is experiencing an unprecedented real estate fever in the midst of a political crisis. Olive Lembe di Sita’s husband, Joseph Kabila, is due to complete his second and final term the following year. The opposition has already begun to demonstrate to demand the holding of elections within the time limits provided for by the Constitution. Paradoxically, despite the uncertainty, the money is flowing. Towers, luxury residences and shopping centers are springing up in the most upscale communes of the Congolese capital.

The story of Harish Jagtani is the fabulous destiny of an Indian immigrant, an employee who became a multimillionaire after ten difficult years in a country at war. When Harish Jagtani arrived in Kinshasa in 1995, he did not mix with the highest figures in the state. Above all, he seems to depend on the generosity of a compatriot, Parmanand Daswani, an Indian importer whom he presents as his uncle and who sails between the two banks of the imposing Congo River. Mr. Daswani is known in the Great Lakes region for two reasons. He is now the honorary consul of India in Brazzaville, but he is also at the head of Gay Impex and its subsidiary, the Régal supermarket chain, present in the DRC and the Republic of Congo. But Gay Impex is still a modest company when the very young Harish, barely 20 years old, goes to do his first classes there.”  Lumumba papers  “ , this unprecedented leak of bank documents in the DRC that we owe to Jean-Jacques Lumumba, whistleblower , former banker and grand-nephew of the hero of Congolese independence Patrice Lumumba.
The Gay Impex company will be legally constituted in Congo in 2006, it will know under the presidency of Joseph Kabila a significant growth, but undoubtedly less than that of other companies close to Harish Jagtani these last ten years. RFI was able to reconstruct part of this success story worthy of a Bollywood film thanks to the Lumumba Papers, other confidential documents, including banking documents, and public sources, as well as multiple interviews with former employees, relatives and rivals of Mr. Jagtani.

A family of Indian immigrants who became millionaires

Under the presidency of Joseph Kabila, Harish Jagtani is not the only one to make a fortune. At least on paper, his whole circle benefits. “  His mother was a teacher in India, she still lives there. His father died when he was young  , ”says a friend of the Indian businessman. The mother, Neeta Jagtani, probably no longer frequents the halls of her school. With Sunita, the wife of her son Harish, she is at the head of at least one mega real estate project in Jaipur. According to the website of the Rajasthan real estate projects regulatory authority, the two women are directors of Shiv Sital Builders Private Limited, promoter of Sapphire, a luxurious ten-storey residence with a swimming pool and gardens on the roof. This company presents itself to interested investors as “ one of the leading real estate development companies in India, pioneer in the Democratic Republic of Congo  ” founded in 2007 by “  international construction tycoon Harish Jagtani  ”.

However, at that time, Harish Jagtani was best known in Congo as the Indian boss of the Congolese airline Services Air. He was just mentioned once that year in the columns of an Indian daily as a native who aspired to build a dolphin park in the desert of Rajasthan. But this project never saw the light of day.

When one asks Shiv Sital Builders Private Limited about the other luxury real estate residences in India listed as completed on its site, they are still unavailable. But the manager, Ajay Singh, promises ”  very soon  ” the start of work on a mega-project ”  Big Times  “, four semi-luxury residential towers, with 296 apartments on an 8,300 m² plot of land in Jaipur. The Indian businessman created with relatives in the 2010s several dozen companies in his country of origin. They officially aim to operate in the field of construction, hotels, real estate and even health, but most of them do not even have a website.

$20 million repaid in just three years

It is in these same sectors that Harish Jagtani made his fortune in the Democratic Republic of Congo. According to the information that he himself provided in 2014 to one of his banks and that RFI obtained, he cumulated that year with his three construction companies eight real estate projects completed or in progress in Kinshasa for an amount of 112 .5 million dollars. The Indian businessman claims to have no more than $5 million in loans from two banks, BIAC and Rawbank. According to another bank document, taken from the Lumumba papers, another line of credit had been opened in 2011 for $20 million to BGFI Bank, a bank run by a member of Joseph Kabila’s family, but in 2014 this amount has already been fully refunded.

That year, his air cargo company Services Air had $5 million in assets and more than $35 million in annual revenue. But the very productive Indian businessman embarks on the construction of a modern hospital in Kinshasa. Also according to this confidential bank document, to finance HJ Hospitals – today one of the main private hospitals in Kinshasa – Harish Jagtani was counting on a five million dollar loan out of the 19.8 million initial investment he owed him. -even finance the remaining 14.5 million from own funds and had pledged land estimated at more than 6 million dollars. ”  He may have applied for loans from other banks, but this Mr. Jagtani never ran out of cash », insists his former banker and whistleblower Jean-Jacques Lumumba, who, like other bankers and businessmen in Kinshasa, suspects illicit operations. “  When he went to commission to obtain the loan of 5 million, he had already bought most of the equipment. He didn’t need us to finance this operation.  »

The desire to operate prestigious partnerships

Harish Jagtani tries to seduce beyond the borders of Congo. But he struggles to interest the big brands in his real estate projects in Kinshasa. One of his biggest catches is having signed in 2019, the day after the election of Félix Tshisekedi, a partnership with the luxury hotel chain Hilton, which nevertheless hesitated for a long time to associate with him. . This American multinational should open by the end of 2021 a hotel in one of the buildings of the Indian businessman, the Congo Trade Center (CTC), the largest commercial and residential center in Kinshasa ideally located on the banks of the Congo River. Others have given up joining. “  Harish is smart and good company  ,” comments a foreign businessman who once had his sights set on the CTC shops. “ Harish does not lack money, wants to go fast, but does not have all the necessary documentation to inspire confidence in established brands. »

The foreign businessman takes the example of the Congo Trade Center shopping mall, completed even before contacting his future clients. “  Which entrepreneur has such a project and thinks of bringing in brands afterwards? “, he still wonders years later. “  The major brands have fairly uniform stores worldwide and any promoter knows that these steps must be taken upstream if they wish to make their project profitable.  A Congolese operator also wonders about the reasons for the success of this rival’s economic model ”  when half the apartments are empty  “. “ I had also tried to get started, but at less than 75% occupancy rate over ten years, that did not allow the initial investment to be profitable, if of course we take into account the payment of bank interest and taxes. »

Since the controversy over the renovation of the plenary hall of the Senate, press articles relating to Mr. Jagtani’s management practices have multiplied, but do not seem to worry the American multinational Hilton. Asked by RFI about the research carried out on the liabilities of the businessmen and companies with which it associates, a spokesperson for Hilton Worldwide Holdings Inc assures that the large American group has “demonstrated due diligence […  ] ] to confirm the ownership structure and that its internal procedures comply with the rules imposed by the United States Department of Justice and other regulatory authorities. Like any American company, the Hilton chain is subject to the Foreign Corrupt Practices Act, which prohibits it from being associated with any act of direct or indirect corruption of a foreign public official.

“Kenny” Rawtani, from tailor to millionaire

The Jagtani clan probably now has more than one millionaire. Harish’s brother-in-law, Kamal “Kenny” Rawtani, also impresses with his growing assets over the past decade. ”  We remember him as a little tailor who came to us with his suitcase to make us costumes that cost a few hundred dollars at the time  ,” complains a rival. Today, the ”  little tailor  ” is at the head of a holding company, Kenny’s International, which has 15 stores in nine countries. He claims ownership of at least two buildings, RR House and Casa Savi, in the heart of Kinshasa, runs several of the best-known restaurants and clubs: K Lounge, Millionaire Club, Olive Verte, Fusion, etc.

He also has a travel agency, Miles Travels, but also a construction company, Sokerico. He is one of the main associates of the discreet Milano company created in Kinshasa in 2005. At least one luxury boutique with the same name and a logo similar to that of Kenny’s international exists in Luanda, in neighboring Angola. In 2017, his main associate, Ritesh Hemnani, had been kidnapped and sequestered for 18 days, his captors, Congolese, Cameroonians and Mozambicans had demanded from his relatives more than 2 million dollars in ransom. He was eventually released by the Congolese police.

A partner cited in the Panama Papers
Harish Jagtani has long had a certain Sajid Umelada Dhrolia as his main partner, even if for a little over a year, relations between the two men seem to have been strained, according to relatives. It is together that they founded Modern Construction in 2009, they are both among the main shareholders, according to the statutes of the company published in the Official Journal in 2012. Mr. Dhrolia always presented himself as “director” of this company in 2016 when his name was mentioned in the context of the revelations linked to the “ Panama Papers ”, this unprecedented leak of confidential documents from offshore companies.

The investigation is coordinated by the International Consortium of Investigative Journalists (ICIJ). She does not mention Harish Jagtani, but establishes connections between Sajid Dhrolia and two other Indians who have long operated in Kinshasa, Salim Anwerali Kamani and Nazim Sadrudin Charaniya. All three have ties to a company based in the British Virgin Islands, Sanzi Holding Limited. “  Some of them hadn’t been in the Congo for a long time, but when they were mentioned in the Panama Papers, it was still a shock  ”, explains a member of the Indian community in Kinshasa.

The information may be shocking, because the use of this type of company based in tax havens is often equated with disreputable practices ranging from tax evasion to money laundering. The anonymity of the true beneficiaries of Sanzi Holding Limited is guaranteed, but the British Virgin Islands and their followers often justify this opacity on grounds of confidentiality.

The “  Lumumba Papers  ” may help to lift part of this veil of opacity. When Mr. Jagtani presented himself at the beginning of the 2010s to banking establishments in Kinshasa to obtain loans, he said he was a shareholder of a “Sanzi Group” which had ”  points of sale in Angola (48), in Cameroon, in Namibia and of course in the DRC  ”. According to the cross-checks carried out by RFI, this group is presented today under the name ”  Group SNS “. With its subsidiary, Noble Group SA, it has become one of the largest importers in Angola and owns the supermarket chain Angola Mart and other companies, notably in India and Dubai. In 2010, this group already posted more than 730 million dollars in annual turnover, according to one of its executives.

Sajid Dhrolia is barely older than Harish Jagtani and his background is quite similar. Born on June 3, 1971, he himself assures BGFI Bank that he finished his graduate studies in Business Communications at the University of Bombay in 1995 and immediately emigrated to the DRC. He founded a small import-export company Sajico which was to register as a representative of Indian brands then little known, Lasam’s or Champion Whisky. With Kin Marché and its two points of sale in the Congolese capital, Sajid Dhrolia remains almost unknown to the general public in Congo, more discreet than his ex-friend Harish, he leaves few written traces behind him.

Companies based in tax havens

Like Harish Jagtani, “Saju”, as Congolese political and business circles call him, is nevertheless one of the greatest architects of the luxury real estate boom of recent years. With one of his companies, the Compagnie hôtelière et immobilière du Congo (CHIC), he managed to sign a partnership in September 2019 with another prestigious hotel chain, the French Accor, for the opening of three hotels in Kinshasa. and in the two mining towns, Lubumbashi and Kolwezi.

His name appears as a representative of one of the two shareholder companies, Galmington Holdings Limited, a company based in the British Virgin Islands. According to CHIC’s constitutive act dated December 19, 2017, for this big operation, Sajid Dhrolia poached Chug Chaitanya, one of the main associates of one of his cousins, Rahim Dhrolia, a very influential businessman in the former province of Katanga. Chug Chaitanya represents CAPS Holding Limited, a company based in the Seychelles, which is also considered by the European Union as a tax haven .

This opacity does not seem to have put off the French group Accor. Questioned by RFI, he claims to have carried out “  thorough prior checks on potential owners and their shareholders  ”. This investigation would have revealed “  no warning signal or risk  ”. The three hotels are scheduled to open in December 2020, 2021 and 2022 respectively.

That’s not all. Sajid Dhrolia is also, according to several sources, behind another heavyweight in the sector: Safricode. “Saju” relied this time on a more well-known and respected Indian entrepreneur: Alu Rahi Manji and his company Devimco, which has long experienced liquidity problems. According to its website, Safricode was created in 2014 by Devimco and another company A One Construction attributed to Mr. Dhrolia. In barely six years of existence, Safricode announces that it has completed five luxury residential and commercial projects in Kinshasa, including the Panoramique, a building with twenty-four apartments, with an infinity pool, jacuzzi, sauna, gymnasium, games, two huge terraces with a breathtaking view of Kinshasa ”  and much more “Promises its website. The villas of his Promenade residence have made people happy among the members of the cabinet of the new head of state, according to sources close to the businessman and inside the Presidency. ”  I have the same salary as them, I could never have afforded a house there  “, one of these sources is surprised.

Frustration of the Congolese business community

The successes of “Harish” and “Saju” are jealous in all communities, but especially among Congolese businessmen who are tired of seeing the most important infrastructure projects carried out by foreigners. “  When you are Congolese and you want to do business in Congo, it is difficult to have access to capital and bank guarantees. Even the banks are mostly run by foreigners who themselves have interests in Congo  ,” laments a Congolese entrepreneur. “  When a head of state comes to power and says he’s going to create Congolese millionaires, I laugh. For this entrepreneur, the explanation is simple: ”  The Congolese politician  ” can hardly open an account ”  in Europe or elsewhere “. To invest his illegally acquired money, “he” cannot join forces with Congolese “  for reasons of confidentiality  ”.

The successes of “Harish” and “Saju” are jealous in all communities, but especially among Congolese businessmen who are tired of seeing the most important infrastructure projects carried out by foreigners. “  When you are Congolese and you want to do business in Congo, it is difficult to have access to capital and bank guarantees. Even the banks are mostly run by foreigners who themselves have interests in Congo  ,” laments a Congolese entrepreneur. “  When a head of state comes to power and says he’s going to create Congolese millionaires, I laugh. For this entrepreneur, the explanation is simple: ”  The Congolese politician  ” can hardly open an account ”  in Europe or elsewhere “. To invest his illegally acquired money, “he” cannot join forces with Congolese “  for reasons of confidentiality  ”.

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