Aksh Optifiber may be in some trouble as one of the independent directors has written to the finance ministry accusing promoters of siphoning Rs.600 crore from the company. It had allegedly been done via related party transactions, maze of group companies for round tripping of funds and over-invoicing of overseas purchases.

The independent director, Arvind Gupta, has accused the promoters Kailash Choudhari and Popatlal Sundesha of having caused huge losses to shareholders and bankers. Arvind Gupta has called for a forensic audit of the company. Gupta, incidentally, was the same person who had thrown light on the ICICI-Videocon quid-pro-quo deal involving Chanda Kochhar.

Gupta has pointed out that Aksh Optifibre, in collusion with the chief financial partner, managing director and other directors on the board had perpetrated this action. Currently, the promoters own 27.95% of the company while the public holds 72.05%. The promoters had created a layer of at least 13 undisclosed related party entities for this purpose.

It may be recollected that Aksh Optifbre had gone public in the year 2000 and is currently listed on the NSE and the BSE. The company posted a loss of Rs 237.82 crore in the Mar-20 quarter and the director has pointed out that this was largely on account of the siphoning of the funds done by promoters. Aksh had reported net profits of Rs.10.62 in Mar-19 quarter.