The Mumbai Police on Friday filed a second FIR against Purushottam Chavan, on charges of cheating and forgery involving nearly Rs 7.42 crore. The Economic Offences Wing (EOW) registered the FIR at Colaba Police Station and has taken over the investigation. According to officials, the case pertains to the alleged preparation and use of counterfeit government documents in a large-scale financial fraud. He is the husband of Rashmi Karandikar, IPS.
On Friday, the EOW searched Karandikar's official residence in Colaba, lasting over five hours. According to sources, some allegedly incriminating documents were found during the search. Ms Karandikar was present at the premises throughout the operation.
The second FIR against Chavan describes a similar fraudulent scheme where he allegedly allocated a fake government quota flat and executed another major scam involving a fake tender for uniforms at the Nashik Police Academy, The tender was fraudulently awarded to Surat-based businessman Raosaheb Desai. According to the complaint, Chavan allegedly received a significant sum in exchange for facilitating the bogus tender.
According to the complaint filed by Desai, the involvement with Purushottam Chavan began around 2015 through a common friend. At that time, Chavan discussed his plans to develop high-end silk and saree materials, revealing his extensive connections within government departments, including the textile sector and the National Textile Corporation (NTC). He also mentioned his wife’s prominent position in the police force, further emphasizing his influence and network.
In a detailed complaint, Desai stated that Purushottam Chavan was involved in a series of alleged fraudulent activities. The involvement began in March 2018 when Chavan provided him with a bogus contract to supply khaki T-shirts and olive-colored hoodies for the Maharashtra Police Academy in Nashik. According to Desai’s complaint, Chavan claimed that his wife, IPS officer Rashmi Karandikar, was a visiting faculty member at the Nashik Police Academy and that the trainees required a large number of international-standard khaki T-shirts and hoodies for training purposes. Desai, who had the capacity to supply the items, agreed to the proposal. Chavan then allegedly instructed him to prepare samples of khaki T-shirts and olive-colored hoodies, to which Desai complied and provided the samples.
Desai stated that at the time, Chavan was staying at the official residence above the Colaba Police Station. Desai said he delivered the samples to the official residence of Ms Karandikar. Chavan then allegedly instructed Desai to prepare 5,000 T-shirts and 5,000 hoodies, which Desai did at his own expense. However, despite manufacturing the consignment, Chavan allegedly failed to make the promised payment. In December 2019, Chavan informed Desai that due to a change in government, there had been a delay.
Desai’s complaint allegedly traces back to 2020, when the COVID-19 pandemic disrupted communication between him and Chavan for over a year. When Desai attempted to contact Chavan, he was informed that Chavan’s mother was critically ill and had been flown to Delhi for treatment via air ambulance. Despite repeated demands for payment, Chavan allegedly promised Desai Rs 40 lakh in Transfer of Development Rights (TDR), assuring him that the money was sent under his name.
The situation took a further turn when Chavan allegedly instructed Desai to manufacture 20,000 khaki T-shirts and 20,000 olive-colored hoodies. Desai complied with the order, but payment was never made. Desai further claims that Chavan allegedly requested an additional Rs 31 lakh from him to secure a contract for the Nashik Police Academy. After receiving the payment, Chavan presented a contract for the supply of 2 lakh hoodies and 1.8 lakh T-shirts, valued at around Rs 70 crore. However, upon further investigation, it was revealed that the contract was fraudulent and the documents associated with the house purchase and the land deal were also fake.
Desai claims that his total expenses for producing the 25,000 khaki T-shirts and 25,000 hoodies amounted to approximately Rs 4.75 crore, including additional costs for warehousing. Chavan had allegedly assured him a payment of Rs 2.5 crore for the TDR, but only a fraction of this amount, around Rs 67 lakh, was paid. Desai used the payment received to cover basic expenses, yet he is still left with a significant financial deficit as the goods remain stored in a warehouse in Surat, where he is obligated to pay a monthly rent of Rs 28,000.
In total, Desai alleges that Chavan took Rs 77 lakh for a house purchase, Rs 57.44 lakh for land at BPT Mumbai, Rs 31 lakh for securing the Nashik contract, Rs 4.75 crore for goods for the Nashik Police Academy, and Rs 98 lakh for the Mumbai Municipal Corporation contract, which also turned out to be fraudulent.
The complaint filed by Desai states that Chavan allegedly offered his assistance in securing government quota flats at a significant discount. A similar modus operandi is noted in the first FIR. Chavan offered a flat in the L&T Crescent project in Parel. The market value of the flat, which was Rs 5.50 crore, was allegedly being offered at a much lower price due to the government quota.Trusting Chavan,Desai paid Rs 1.65 crore in installments between 2017 and 2023.
In his statement,Desai stated that, apart from the quota flat, Chavan also allegedly offered him a fraudulent land deal in the BPT (Mumbai Port Trust) area under the government quota. The complainant alleges that Purushottam Chavan promised significant returns from the purchase, including the ability to supply construction materials for residential buildings to be constructed on the land. Chavan further assured that desai would receive Transfer of Development Rights (TDR) and built-up area once the land was leased.
The complainant was shown a restricted plot in the BPT area, with access facilitated by a police vehicle belonging to Rashmi Karandikar. After agreeing to the deal, the complainant transferred Rs 5,74,400 to Chavan’s ICICI Bank account. To make the deal appear authentic, Chavan falsely arranged for the registration process to appear as though it had taken place at the Sub-Registrar’s office, where a sale deed was allegedly signed and the revenue officer’s signature was processed online.