Lamborghini blows lid off alleged Rs 1,000 cr mutual fund scam

NEW DELHI: A Lamborghini seems to have blown the lid off a huge front running scandal in a private sector mutual fund. Now, there are loud whispers of a Rs 1,000 crore scam in a large mutual fund owned by a leading private sector bank involving front running by the fund managers and dealers.

The said fund manager seems to have been using a Lamborghini and buying luxury apartments in and around Mumbai. He is said to be on the payrolls of brokers and accumulated small and midcap stocks on behalf of the mutual fund.

Axis Mutual Fund has carried out changes in fund manager responsibilities with effect from May 4 and Viresh Joshi, who was handling Axis Arbitrage Fund, Axis Banking ETF, Axis Consumption ETF, Axis Nifty ETF and Axis Technology ETF, does not find a mention in the new responsibilities. Deepak Agarwal also does not find mention in the new structure. As per Twitter comments, there is a speculation that these two have been fired from the fund. The same comments suggest that Joshi made Rs 500 crore and owned 14 apartments around Mumbai. Joshi was said to be instrumental in buying small and mid cap stocks and boosting them to place with the mutual fund once they crossed a certain size threshold. It is learnt that the CEO, Chandresh Nigam, is also under fire for overlooking these practices.