Kewal Ahuja SGF Fraud – Large Scale Misrepresentation by SGF Unveils

Kewal Ahuja SGF India fraud breaks cover as more investors come to the limelight alleging SGF with cheating money in the name of franchising. Food franchises enjoy a large amount of popularity, which translates into financial success for the owners of these businesses. On the other hand, picking the incorrect one will cost you both time and money. It is crucial to pick the most trustworthy food franchise in which you can put your faith to enable you to succeed. You ought to earn a satisfactory reward for all of your hard work.

Kewal Ahuja SGF Fraud

The franchising business is growing at a healthy 30-35% per year and is expected to reach $ 100 Billion in 2024. Many corporate professionals as well as an innocent salaried middle-class youth have been interestingly seen taking a plunge into this franchisee business. This is the same reason why many people joined as franchisees of SGF India. SGF owner Kewal Ahuja has played so smartly and wittily here. He presented this business to the people in such a way that it had looked so tempting & lucrative business with high return value in minimum frame of time. High returns & more than a sustainable revenue generation were offered by SGF made people fall for its franchise.

Abruptly high money as fee was charged from the people. Moreover, the fee collected by SGF, was not reported to regulators such as Income Tax Department and GST Council under regulatory filings. SGF is non-compliant in MCA filings as well. This report highlights the compliance irregularities and potential financial fraud. A deep analysis has been done of SGF and its sister concern company Spice to highlight facts that both are managed by Kewal Ahuja and the companies are also registered at the same address. The sister concern- spice's reported turnover for last 3 years is as follows.

Y & Y (INR)

2017-18: 1.26 crore

2018-19: 2.54 crore

2019-20: 2.70 crore

SGF in the previous 3 years have reported NIL returns in GST and Income tax. They are also non-compliant in MCA filings as well. This is a potential angle of fund misappropriation.

The track record of SGF’s statutory non-compliance are as follows:

1. SGF was formed in year 2019 and first auditor was appointed on February 25th, 2019, however till march 2019, there was no available record with MCA for financial and annual filing.
2. Second auditor was appointed in SGF on 31/12/2020 for the period from 1st April 2019 till march 31st 2024, there is again no available record with MCA for financial and annual filing. The first auditor resigned in just few months and second auditor was appointed in extra ordinary general meeting, which raise an alarm.
3. SGF has not filed annual returns and financial statements with MCA for last 2 years which is a mandator exercise for every PVT. Ltd company in India. If there is a further non-compliance for third year, MCA may start the process of striking off suo moto. SGF has not initiated any e forms to correct the non-compliance which highlights the intent to no follow the going concern.
4. SGF has filed no returns the income tax returns for the last three years. If the company is collecting franchise fee, the company should be filing the profit and loss account with the income tax department even if the net profit is NIL. This may highlight malicious intent.
5. SGF has applied for 3 GST numbers. Out of these 3 GST numbers, 2 are registered in Delhi and Haryana state and the status is INACTIVE. These GST numbers are cancelled by GST council suo moto. GST number of Mumbai is active however, there is no return filed by company since September 2021.

All these factors show the malicious intent of Kewal Ahuja and SGF. More truths on Kewal Ahuja SGF fraud comes to the limelight as more and more investors share news about being cheated. All those interested investors should be cautious and rather try to refrain themselves from investing in SGF owned by Kewal Ahuja, where fund misappropriation and fraud has been kept as a main criterion of the business. Kewal Ahuja also serves as the Treasurer of BJYM Delhi Pradesh and has high political influence. He uses this to suppress the news of the fraud. His ultimate aim is to become a lead politician and not be a good businessman.