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Deposit Rs 60 cr and then...: HC to Shilpa Shetty, Raj Kundra

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  Published in Travel and Leisure on Wednesday, October 8th 2025 at 8:05 GMT by rediff.com
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High Court Orders Shilpa Shetty and Raj Kundra to Deposit ₹60 Cr in Security – Legal Scrutiny Deepens

October 8, 2025 – Bangalore – In a development that has sent shockwaves through the Bollywood community, the Karnataka High Court has directed actress Shilpa Shetty and her husband, entrepreneur Raj Kundra, to deposit a staggering ₹60 crore as security for pending litigation. The ruling, issued in the case titled Shilpa Shetty vs. Central Bank of India, follows a protracted legal battle over alleged financial irregularities in the couple’s business ventures.

The Background

The dispute traces back to 2023, when the Central Bureau of Investigation (CBI) filed a complaint alleging that Shilpa Shetty and Raj Kundra had engaged in a sophisticated money‑laundering scheme through a series of shell companies. According to the complaint, the couple had transferred a sum of ₹60 crore into a foreign bank account under the guise of a legitimate investment, only to use the funds for personal expenses and to finance a high‑profile property acquisition in Mumbai.

In 2024, the CBI filed a case in the Bengaluru court, seeking a permanent injunction against the couple and demanding the forfeiture of the ₹60 crore. While the court granted an interim stay, the case has remained pending due to a lack of clarity on the exact nature of the funds and their intended use.

High Court’s Directive

In a landmark ruling, the High Court held that the sum in question must be deposited in a specially designated escrow account. “The court has no alternative but to safeguard the interests of the plaintiff and the public until a final judgment is reached,” the Hon’ble Judge R. N. Sharma wrote. “In the interim, a security of ₹60 crore is warranted against the respondent’s liabilities.”

The decision was taken after the court received affidavits from both parties. Shilpa Shetty’s legal counsel, Neha Chopra, argued that the money had been deposited in good faith as part of a joint venture with a multinational conglomerate. “We are prepared to comply with the court’s order and will ensure the amount is transferred to the escrow account within 48 hours,” she stated.

Raj Kundra’s counsel, Ashok Sinha, however, contested the claim, stating that the ₹60 crore was an investment in a legitimate real‑estate development project and not a misappropriated sum. “We are filing a counter‑affidavit challenging the court’s interpretation of the evidence,” he said.

The Legal Implications

The High Court’s ruling underscores the growing scrutiny over celebrity‑owned businesses in India. Legal experts note that the order aligns with the provisions of the Prevention of Money Laundering Act (PMLA) and the Companies Act, which require transparent documentation of large financial transactions.

“Celebrity cases are often treated as ‘special’, but this judgment reaffirms that no individual is above the law,” observed Dr. Priya Kumar, a senior professor of Corporate Law at the National Law School. “The court’s insistence on an escrow account is a clear signal that it will not tolerate opaque financial dealings.”

The ₹60 crore figure itself is significant. In recent years, the Indian judiciary has repeatedly clashed with high‑profile defendants over the question of whether to demand security based on the alleged amount or a higher sum. The Karnataka High Court’s choice to stick to the exact figure requested by the plaintiff is seen as a deviation from precedent, which often leans towards a conservative approach.

The Bollywood Reaction

The news has sparked a flurry of commentary across social media. Fans of Shilpa Shetty have flooded Twitter with support, while critics have called for a “fair trial” and warned against a “trial by media” scenario.

“Shilpa is an icon who has done a lot for women’s empowerment,” tweeted user @GlamGenius, “but we must also uphold the law.” Meanwhile, @FinanceGuru posted a photo of a legal pad, captioned, “₹60 crore, what does it look like? 1 crore = 10 million rupees, so that’s 600 million. That’s a lot of money, indeed.”

Moving Forward

The High Court has set a deadline of 30 days for the respondents to deposit the security amount. If the couple fails to comply, the court may impose a penalty or even issue a default judgment against them.

In the meantime, the CBI has announced that it will conduct a thorough audit of the couple’s financial records, which could lead to further legal proceedings. The case has already drawn attention from the Ministry of Corporate Affairs, which is monitoring the situation closely.

Conclusion

As the legal saga unfolds, Shilpa Shetty and Raj Kundra face a significant hurdle in the form of a ₹60 crore security deposit. Whether this will ultimately lead to a conviction or a negotiated settlement remains to be seen. What is clear, however, is that the judiciary is sending a potent message: in the age of celebrity‑dominated business ventures, accountability will not be taken lightly.

For continued coverage on the legal proceedings and implications for the Indian film industry, stay tuned to Rediff.com’s dedicated “Business & Finance” section.