Mumbai EOW Registers Multi-Crore Cheating Case in International Shipping Dealings

The Economic Offences Wing (EOW) of the Mumbai Police has registered a multi-crore cheating and criminal breach of trust case following a preliminary inquiry into allegations raised by a Mumbai-based shipping and logistics operator. The case, which spans both Indian and overseas jurisdictions, involves an alleged fraud of ₹18.33 crore.

The FIR was filed against shipping companies like ALX Shipping, subsidiary of Allcargo Logistics, and senior executives of Dubai-based Aladdin Express DMCC having major shareholding with Hutchison Ports. 

The complaint was filed by Vishal Mehta of Rushabh Sealink and Logistics, who alleged that the accused were fully aware of substantial outstanding dues owed to port authorities for vessel-related payments. Despite this, they allegedly collected large payments from the complainant on the pretext of operational requirements and subsequently diverted the funds for unauthorised purposes. 

The accused allegedly issued fraudulent container release orders, misrepresented vessel clearances, and enticed the complainant with promises of higher profit margins. Several business agreements were executed to build credibility but were later violated, resulting in a reported loss of 18.33 crore.

The FIR also names company officials including Sandeep Bakshi, Vikas Khan, and Ali Khan and the case is registered under BNS sections 316(2), 316(5), 318(4), and 61(2) at the Ghatkopar Police Station before the case was transferred to the EOW.

The agency is now tracing the financial trail to determine whether the diverted funds were routed overseas. Officials stated that, given the involvement of foreign companies, the investigation is likely to expand and could bring additional individuals or organisations under scrutiny.

The alleged fraud amount may rise as more transactions are reviewed, and the role of officials linked to other corporate entities may also come under examination as the probe advances.

ALX Shipping Agencies (India) Pvt. Ltd. ("ALX"), in a statement of clarification, said, "The matter primarily arises from unauthorized and individual actions by former CEO, Mr. Sandeep Bakshi, who has already been removed from his position following our internal findings." 

Prior to this latest development, ALX said it had previously filed a detailed complaint with the Economic Offences Wing against Mr. Bakshi and others for actions undertaken without the knowledge or approval of ALX’s management or Board. 

The latest development is being tracked and reviewed internally by the company. "We reiterate that ALX remains committed to full cooperation with the authorities. As the investigation is ongoing, we will refrain from further comment."

"At ALX, we follow rigorous systems and processes and maintain high service standards in compliance with existing norms," they added.