UK: noose tightens around steel tycoon Sanjeev Gupta

Businessman Sanjeev Gupta is the head of Liberty House, the industrial arm of the GFG Alliance group.

JUSTIN TALLIS / AFP

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2 min

After the former Prime Minister David Cameron, splashed by the scandal following the bankruptcy of the financial company Greensill, it is therefore up to the steel magnate Sanjeev Gupta to explain himself.

British investigators are examining the nature of the activities linking the family group and the now bankrupt company.

In need of financing, has the British steel giant of Indian origin used fraud to obtain millions of pounds from the financial company Greensill?

The investigation has only just begun.

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Already short of cash, Gupta Family Group is now suspected of fraud, fraudulent commerce and money laundering in the conduct of its businesses.

No details on the alleged frauds, but the group's financial ties with Greensill (of which he was one of the main clients) are at the heart of the “Serious Fraud Office” investigation.

According to the local daily 

Financial Times

, suspicious invoices were provided by the Gupta group to Greensill in exchange for funds. 

A practice that looks like fraud, say some British parliamentarians who point to a "

highly suspect

"

funding model

resembling "

pyramid fraud

"

Sanjeev Gupta's group denies any wrongdoing and promises to “ 

fully cooperate with the investigation

”.

The NGO Spotlight on Corruption praised the rapid action of the British justice system, a demonstration according to it that the evidence of embezzlement is quite solid. 

The emblematic group, which was built by buying companies in difficulty, is now itself in turmoil.

He is looking for new funds to avoid the closures of factories that support 35,000 people around the world.

And given the circumstances, not sure that the British government, suspicious of the management of the group, reach out to him.

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  • Corruption

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