Overview

• Hemang Shah, 50, was arrested by the Mumbai Police Economic Offences Wing for allegedly diverting ₹9 crore from joint funds into his own accounts.
• The Shah brothers had jointly managed proceeds from the ₹2,500 crore sale of Anchor Electricals to Panasonic in 2007, which funded 180 companies.
• In 2020, Hemang began managing surplus funds, claiming higher returns from debentures and mutual funds but allegedly misappropriated a significant portion.
• Hemang reportedly misled his brother, Mehul Shah, advising against withdrawing funds in 2024 and concealing discrepancies in financial records.
• He has been charged under sections 316(5) (criminal breach of trust) and 318(4) (cheating) of the recently implemented Bhartiya Nyaya Sanhita.