We often hear inspiring stories of people in India going from rags to wealth and building themselves a great fortune. However, some people have not only seen the heights that come with success, but also suffered severe losses afterwards.
Today we’re going to tell you about some Indian billionaires who went from wealth to rags and managed to squander their fortunes.
Ramalinga Raju, the founder of Satyam Computers Services Ltd in 1987, built the country’s fourth largest exporter of computer software. The company was worth $ 2 billion in 2008. To post good profits, Rajun began to manipulate funds within the company to invest in the real estate market. However, things took a turn for the worse after the 2008 recession, forcing him to tell the truth. After that, Raju, his brothers and 7 other people were all sentenced to prison.
Ramesh Chandra, an IIT alumnus, started a real estate company in 1971 under the name Unitech. Thanks to the booming market, Unitech quickly rose to the top and became the second largest real estate company valued at $ 32 billion. However, due to the 2008 recession, the business began to collapse.
Amid the chaos, Chandra entered the telecommunications industry, which, although initially well received, quickly faded away due to its involvement in the 2G scam. His involvement was so serious that Chandra’s sons, Sanjay and Ajay Chandra, ended up being arrested.
Ranbaxy Singh Brothers
Ranbaxy Singh brothers – Malvinder and Shivinder – had acquired a 33.5% stake in Ranbaxy, a pharmaceutical company founded by their grandfather. The brother then, in 2008, sold their inheritance for $ 2 billion, after which a few bad investments consumed their wealth. One of their most infamous investments included a loan of Rs 3,000 crore to spiritual guru Gurinder Singh Dhillon. The brothers, as of now, owe a total of $ 500 million. They are also currently being prosecuted for embezzling billions from Religare and the healthcare company Fortis.
Former billionaire Vijay Mallya also inherited his father’s liquor business at the age of 28 and turned it into a multi-billion dollar business. The problems started to occur when Mallya decided to enter the airline business with Kingfisher Airlines, which became difficult during the 2008 recession. Soo afterwards, news of Mallya’s Rs 9000 crore scam came to the fore. broke out after which he fled India and is currently seeking refuge in the UK.
Luxury diamond jeweler Nirav Modi was once a name to be reckoned with. However, things took a turn for the worse in 2018 after the scam was announced. It has been revealed that Nirav Modi has scammed PNB of Rs 14,000 crore over the course of 7 years. After the news broke, Modi fled India and took refuge in London. The process of his extradition is currently underway.