Bankim Brahmbhatt, an Indian American CEO, faces allegations of a $500 million fraud involving fabricated invoices and customer accounts linked to his telecom companies.
Bankim Brahmbhatt, the Indian American CEO of U.S.-based telecom firms Broadband Telecom and Bridgevoice, is embroiled in a significant fraud case that has reportedly drawn the attention of investment giant BlackRock. According to The Wall Street Journal, lenders, including HPS Investment Partners, the private credit arm of BlackRock, have accused Brahmbhatt’s companies of using fake invoices and customer accounts to secure substantial loans, totaling over $500 million.
Brahmbhatt’s attorney has stated that his client disputes the allegations of fraud. As the founder, president, and CEO of Bankai Group, a telecommunications and fintech enterprise with operations across multiple continents, Brahmbhatt has built a reputation in the industry. He began his career in 1989 by establishing a push-button telephone manufacturing unit in India and later expanded into satellite technology, telecom billing, and digital financial services.
Bankai Group’s flagship product, MobiFin Elite, offers digital financial solutions that cater to clients in various countries, particularly in Africa. Brahmbhatt has often articulated his vision of creating a self-sustaining ecosystem for carriers, operators, and financial institutions, blending technical expertise with strong interpersonal skills.
However, the recent allegations have cast a shadow over his career. HPS Investment Partners reportedly began lending to a financing arm associated with Brahmbhatt’s companies in September 2020, increasing its exposure to approximately $430 million by August 2024. BNP Paribas also participated in this financing arrangement.
The alleged fraud came to light in July 2024, when an employee from HPS discovered that several customer emails appeared to originate from fake domains designed to imitate legitimate telecom companies. When confronted, Brahmbhatt allegedly reassured HPS officials that there was no cause for concern but subsequently ceased all communication.
Investigations conducted by accounting firm CBIZ and law firm Quinn Emanuel, which were hired by the lenders, uncovered that the emails and invoices presented as proof of receivables had been falsified. A Belgian telecom company, BICS, confirmed to investigators that it had no affiliation with the emails used by Brahmbhatt’s firms, labeling the situation as a confirmed fraud attempt.
Further court filings allege that fraudulent customer contracts date back to 2018 and that assets pledged as collateral were transferred to offshore accounts in India and Mauritius. By August 2024, Brahmbhatt’s companies—Broadband Telecom, Bridgevoice, Carriox Capital II, and BB Capital SPV—filed for bankruptcy, coinciding with lawsuits initiated by the lenders. Around this time, BNP Paribas disclosed adding €190 million (approximately $220 million) in loan-loss provisions related to a “specific credit situation,” although it did not specify the borrower.
Reports indicate that HPS has informed its clients that Brahmbhatt is believed to be in India. A visitor to his New York offices in July found them closed and vacant, according to The Wall Street Journal.
In a further development, Brahmbhatt filed for personal bankruptcy on August 12, the same day his companies sought Chapter 11 protection. Despite the scale of the alleged fraud, sources cited by the Journal noted that the incident represents only a small fraction of HPS’s $179 billion in assets under management and is unlikely to materially impact BlackRock’s overall performance.
As U.S. courts oversee bankruptcy proceedings and civil litigation, Brahmbhatt has denied all allegations but remains untraceable as the investigation continues to unfold.
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