Multi-Crore Fraud Scandal Hits ALX Shipping Agencies in Mumbai

The Economic Offences Wing of Mumbai Police has filed a multi-crore fraud case against ALX Shipping Agencies India and executives from Aladdin Express DMCC. Allegations include fund diversion and shipment mishandling, resulting in significant financial losses. Internal investigations by ALX point to unauthorised actions by a former CEO.

The Economic Offences Wing of Mumbai Police has registered a multi-crore fraud case against ALX Shipping Agencies India, a subsidiary of Allcargo Logistics Ltd, and senior executives of Dubai-based Aladdin Express DMCC. The FIR, initially lodged at Ghatkopar Police Station, includes accusations against key figures in both companies.

According to the FIR, the accused allegedly engineered a diversion of funds totaling Rs 18.33 crore from a Mumbai-based logistics firm. The complaint details how, despite being aware of unpaid dues at international ports, the accused continued to solicit funds, issued falsified documents, and redirected resources without authorization.

Vishal Pankaj Mehta, owner of Rishabh Sealink and Logistics Pvt. Ltd., claims he was duped in multiple business dealings, noted financial returns far below expectations, and faced shipment delays or cancellations. He cited these issues as critical factors leading to a reported financial loss of Rs 18.33 crore.

The complainant said, "Shipments were not processed timely, causing customer dissatisfaction and trust issues. Despite investments, the company retained both funds and trust unjustly, leading to a total loss of Rs 18,33,45,544." The case falls under the Bharatiya Nyaya Sanhita provisions.

ALX Shipping Agencies (India) Pvt. Ltd. issued a statement attributing the controversy to unauthorized decisions by a former CEO, who has since been dismissed following an internal probe. The company stated they've approached the Economic Offences Wing to address these actions and affirmed full cooperation with ongoing investigations, asserting their commitment to high service standards.

(With inputs from agencies.)