Hero MotoCorp gets a shock, fraud case registered against the company

A case of forgery and criminal conspiracy has been registered against Hero MotoCorp, one of the largest two-wheeler companies. In this case filed by Delhi Police, the company has been accused of taking tax credit of about Rs 56 lakh by making fake bills of more than Rs 5.9 crore. According to a media report, the complaint has been filed by Brains Logistics Pvt Ltd and it has named Hero MotoCorp along with its main employer Pawan Munjal and executives Vikram Sitaram Kasbekar and Hari Prakash Gupta and an auditor. In response to this, Hero MotoCorp is issuing a statement saying that this is an old matter and the names of any executives are not involved in it. The complaint alleges that the company, in connivance with Munjal and Kasbekar, had raised fake bills of over Rs 5.9 crore for 2009 and 2010 and created fake debit balances in its accounts for Brains Logistics Pvt Ltd. It also alleges that Hero MotoCorp had taken fake CENVAT (service tax) credit of more than Rs 55 lakh. In this case, Hero MotoCorp has been accused of cheating the Income Tax Department and Brains Logistics Pvt Ltd. It said the company had never issued or deposited the fake bills. Recently Hero MotoCorp launched Karizma XMR. The company has re-introduced this popular motorcycle with a new design. The new Karizma has a 210 cc engine. Its price is Rs 1,82,900 (ex-showroom). It has a 210cc 4V liquid cooled engine which generates 25.5Ps of power and 20.4Nm of torque. This motorcycle has been made available in Iconic Yellow, Matte Red and Phantom Black colors. It has features like LCD digital instrument cluster with Bluetooth connectivity, turn by turn navigation, adjustable windshield, slip and assist. This motorcycle has disc brakes at the front and drum brakes at the rear. It has sharp and sleek LED headlamps with LED daytime running lights.