Mumbai Police Investigates ₹350 Crore Fraud Allegation Against Percept CMD and 26 Others
The Mumbai Police has initiated a preliminary enquiry into a complaint filed by entrepreneur Shailendra Mangal Singh, alleging a ₹350 crore fraud against his brother, Harindrapal Mangal Singh, CMD of Percept Ltd, and 26 others.
FraudSunburnPercept LtdMumbai PoliceHarindrapal Mangal SinghReal Estate MumbaiAug 13, 2025
The PE, registered on Wednesday, names 27 entities and individuals, including company directors, investors, and registrars of trademarks and companies. Police officials stated that no first information report (FIR) has been lodged yet, as the matter is still at the assessment stage.
When contacted, Harindrapal Mangal Singh said he had not received any summons from the police and refused to comment on the case. Queries emailed to BookMyShow remained unanswered by press time.
According to the police, the case stems from a 2017 family settlement under which the two brothers agreed to equally divide their business interests, with Shailendra first resigning from all company directorships. Shailendra alleged that after his resignation, while he remained a shareholder, Harindrapal, in collusion with others, transferred the Sunburn intellectual property (IP) trademarks, valued at about ₹600 crore, to Spacebound Web Labs for just ₹57,000, without an authorized valuation or his consent.
Shailendra has stated in his complaint that he successfully launched multiple entertainment and media IPs, including Sunburn, billed as India's first international music festival, in 2007, when he was the creative head and one of the joint managing directors and promoters of Percept Ltd.
Shailendra claimed that he and other family members were defrauded when the Sunburn IP was sold by Percept Ltd. to Percept Live for ₹65 crore—an amount neither received by Percept Ltd. nor by him or any family member. He further alleged that the IP was later undervalued and transferred from Percept Live to Spacebound Web Labs while Percept Live was under the corporate insolvency resolution process and subject to a moratorium on its assets, a senior official told ET on condition of anonymity, citing the complaint.
The complaint also alleged that Harindrapal later acquired a 40% stake in Spacebound Web Labs, subsequently selling 25% of that stake for ₹36 crore. The alleged undervaluation and sale, Shailendra claimed, deprived him of benefits from the brand, causing losses estimated at ₹350 crore.
Police officials said a PE allows investigators to summon individuals linked to the case under certain sections of the Code of Criminal Procedure. 'While so far nobody has been summoned, they will be called to join the probe in due course,' said a senior police official.
Frequently Asked Questions
What is the alleged amount of fraud in the complaint against Percept CMD?
The alleged amount of fraud in the complaint against Harindrapal Mangal Singh, CMD of Percept Ltd, is ₹350 crore.
What is the value of the Sunburn intellectual property (IP) mentioned in the complaint?
The Sunburn intellectual property (IP) is valued at about ₹600 crore, according to the complaint.
Who are the other entities and individuals named in the preliminary enquiry (PE)?
The PE names 27 entities and individuals, including company directors, investors, and registrars of trademarks and companies, associated with Percept Live, Big Tree Entertainment, and Spacebound Web Labs.
What was the outcome of the 2017 family settlement between the Mangal Singh brothers?
The 2017 family settlement between the Mangal Singh brothers involved them agreeing to equally divide their business interests, with Shailendra resigning from all company directorships.
What actions can the Mumbai Police take during a preliminary enquiry (PE)?
During a preliminary enquiry (PE), the Mumbai Police can summon individuals linked to the case under certain sections of the Code of Criminal Procedure to gather more information and evidence.
Related News Articles
Mumbai's Sky-High Ambitions: Exploring the City's Love for Skyscrapers
As Mumbai continues to grow
Mumbai Records Third-Highest Surge in Luxury Housing Prices Globally
Mumbai's prime residential prices surge 11.5% year-on-year, ranking third globally, as India's economic growth drives demand in luxury housing market.
Affordable Housing Supply Dries Up as Builders Focus on Premium Projects
The latest data from JLL India reveals a 21% decline in affordable housing supply below Rs 50 lakh, while premium projects saw a significant surge in demand.
Priyanka Chopra's Real Estate Empire: A Peek into Her Investments
Priyanka Chopra Jonas is a keen investor in the real estate space, owning multiple properties in India and the US. Here's a look at her recent transactions.
Uber and Heads Up for Tails Expand Pet-Friendly Rides in Delhi and Mumbai
Uber has partnered with Heads Up for Tails to offer pet-friendly rides in Delhi and Mumbai, making travel more convenient and comfortable for pet owners.
Blackstone and Sattva-backed REIT Files Draft Papers for ₹7000 Cr IPO
A real estate investment trust (REIT) backed by asset manager Blackstone Group and Bengaluru developer Sattva Group has filed its draft papers with the Securities and Exchange Board of India (SEBI) for a ₹7000 crore initial public offering (IPO).