Mahesh Shah’s CA jailed for ₹6.85 cr fraud

Ahmedabad, Oct 11, 2023

Chartered accountant Tehmul Sethna, known for his role in disclosing Rs 13,860 crore of income by Mahesh Shah during demonetization, has been sentenced to five years in prison for cheating and forgery.

The case originates from a 2017 complaint by Shivangi Panchal, a resident of Navrangpura. She alleged that Sethna, entrusted with her father’s trust, Environment Research and Development, misused it for tax evasion. An account was opened in the trust’s name at the South Indian Bank, with transactions totalling Rs 6.85 crore conducted using her sister’s forged signature. She filed the complaint after receiving an I-T notice.

Sethna faced charges of cheating and forgery under various sections. Additional chief metropolitan magistrate D G Rana found him guilty, sentencing him to five years in prison and imposing a fine of Rs 1.40 lakh.

The court said that the misuse of beneficial legislation for personal financial gain, as seen in Sethna’s case, amounted to an offence. Trusts are established for the public good, and abusing their provisions for tax evasion defeats their purpose. Massive tax evasion harms the government and the public interest. Despite Sethna’s professional reputation, his pursuit of financial gain led to this crime, the court noted.

[The Times of India]