A criminal complaint filed last month by companies based in New York and London has accused one of the Trump Organization’s partners in India of massive fraud. The complaint argues that the Indian real estate developer (IREO) illegally and fraudulently stole over $147 million of investor’s money. A total of over $300 million had been donated by Children’s Investment Fund Foundation and Axon Partners, two global investment firms.
The allegation claims that the Indian real estate developer and others created a fraudulent web of companies and entities and created erroneous charges to pocket over $147 million. Ramesh Sanka, former CEO of IREO, helped empower investors to file a criminal complaint by warning them about potential fraud within the company. Sanka filed his own complaints with both the local police department and civil court in Gurgaon.
In one interview, Sanka described how he joined IREO in 2014. Shortly after, he learned of complaints from individuals who had purchased homes and then had their apartments cancelled. These individuals never received their refund. After years of documenting similar incidents and gathering documents, Sanka was convinced of “true and deep-rooted” fraud within the company. He left the company in 2016. According to documents obtained by the Washington Post, Sanka was accused of malfeasance by IREO and was barred from the securities market for three years by India’s regulator.
On March 13, the Indian real estate developer wrote a statement to investors calling the fraud allegations “baseless” and “devoid of any merit”. Donald Trump Jr., Trump Organization’s executive vice president, visited India in February.