Fact Check: Actress Denies Reports of Income Tax Raid at Her Home

Bollywood actress Shilpa Shetty has strongly refuted reports claiming that Income Tax officials conducted a raid at her Mumbai residence. The denial comes amid allegations connecting her to a ₹60 crore fraud case linked to the Bastian pub.

Advocate Prashant Patil, representing Shetty, issued a statement clarifying that no raid took place at the actress’s home. According to Patil, what actually occurred was a routine verification by Income Tax officials as part of standard procedural follow-ups.

“There was absolutely no Income Tax raid at Ms. Shetty’s residence,” Patil emphasized, warning that legal action would be taken against anyone falsely connecting these developments to the Economic Offences Wing case.

The controversy stems from a case filed in August against Shetty, her husband Raj Kundra, and another individual for allegedly defrauding businessman Deepak Kothari of over ₹60 crore. Kothari, who represents Lotus Capital Financial Services Ltd, has claimed that the incidents occurred between 2015 and 2023, alleging that funds provided for business expansion were diverted for personal use.

Breaking her silence on the matter, Shetty expressed being “deeply saddened” by what she described as baseless attempts to implicate her in the case. Through a statement released by her team, the actress maintained that her association with the company in question was strictly limited and non-operational.

“My role with the company was purely non-executive, with no involvement in its daily operations, finances, decision-making, or signing authority,” Shetty stated. She explained that, like many celebrities, she had merely endorsed certain products for a home shopping channel in a professional capacity and noted that payments for these endorsements were still pending.

In a surprising revelation, Shetty disclosed that her family had actually extended a substantial loan of nearly ₹20 crore to the company, which remains unpaid. This detail adds a complex dimension to the case, raising questions about the nature of her relationship with the business entity.

The actress questioned the timing of the allegations against her, noting an “unexplained delay of nearly nine years” in attempting to attribute criminal liability to her. She characterized such efforts as “legally unsustainable and contrary to settled principles of law.”

Shetty’s statement also addressed the personal toll of the situation, pointing out that having her name “unnecessarily dragged into the proceedings” was unjustified and damaging. She specifically noted that such allegations unfairly tarnish a woman’s dignity, integrity, and reputation in the public domain.

Taking legal action to protect herself, Shetty confirmed that a quashing petition has already been filed before the Bombay High Court. “I have complete faith in the judicial process and will pursue all appropriate legal remedies to protect my rights and reputation,” she affirmed.

The case highlights the vulnerabilities that public figures face regarding their business associations and investments. For Shetty, who has maintained a diverse portfolio of business interests alongside her entertainment career, the situation represents a significant challenge to her public image and business credibility.

Financial fraud investigations involving celebrities have become increasingly common in India’s entertainment industry, with authorities scrutinizing complex business arrangements and investment structures that often include multiple stakeholders and companies.

As the legal proceedings unfold, Shetty has appealed to media outlets for responsible reporting, urging them to verify facts before publishing and to present the matter accurately. Meanwhile, investigators continue to examine the financial transactions related to the case to determine the legitimacy of the fraud allegations.