Where is Harshad Mehta’s Brother Ashwin Mehta today?
Where is Harshad Mehta’s Brother Ashwin Mehta today?
The 1992 Harshad Mehta stock market scam that jolted the Indian financial system in the 1990s was a revelation for many until 2020 when the web series Scam 1992 unfolded the events that shook the stock market in the 90s and made Harshad Mehta - the kingpin of the scam, a household name but not many people know of Harshad Mehta brother Ashwin Mehta who was equally responsible for the scam that shook the nation in 1992.
Harshad Mehta was the man who orchestrated the whole scam of 1992 that swept away crores of investor's money and brought to notice the glaring holes in our financial ecosystem and eventually led to the inception of the Securities and Exchange Board of India (SEBI) - the watch of the Indian Securities market.
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Who is Ashwin Mehta?
Ashwin Mehta was famously known for being Harshad Mehta's brother and was born at Paneli Moti in Gujarat on June 6, 1956, and Ashwin Mehta's age is 66 currently. His family comprises his father, "Shantilal Mehta," his mother, "Rasilaben Mehta," and three siblings, namely, "Sudhir Mehta," "Harshad Mehta," and "Hitesh Mehta."
Harshad Mehta brother Ashwin Mehta completed his schooling at Holy Cross Byron Bazar School and further moved to Mumbai for higher studies. After coming to Mumbai, Harshad started working as a stockbroker, whereas Ashwin Mehta was interested in law.
At the time when Harshad Mehta rose to fame in the stock market circuit, Ashwin Mehta joined his brother on the bandwagon and was an integral part of the securities scam of 1992.
Before arrival of Harshad Mehta the stock market dance on tune of Manu Manek Mundra, who always keep the market on bear side by his short selling technique and most successful investors and traders like Rakesh Jhunjhunwala also be the part of that Bear cartel group.
What was the 1992 Scam all about?
In 1992, India's biggest stock market scam came forward, and stockbroker Harshad Mehta was in the midst of the scam. At that time, the scam size was Rs.4000 crore, which in 2022 is worth Rs.25,000 crore. You can measure the magnitude of the scam by the fact that even if you add the Nirav Modi and Vijay Mallya scam, then also it cannot beat the Harshad Mehta scam in today's terms.
During that time, banks used to have ready-forward deals with each other where they used to exchange cash with each other by mortgaging government securities without physically transferring these securities just by exchanging bank receivables from the borrower bank to the lender bank.
Harshad Mehta was the intermediary between these banks where he used these bank receivables in his favor to illegally pump money into the stock market and inflate stock places, thus taking the Indian stock market to greater heights.
In 2020, a web series erupted in the entire nation, which depicted the whole scam that took place in 1992 in an engaging and elaborate manner. You can watch the scam 1992 web series on Sony Liv, and you can also download the scam 1992 web series to take references about what went wrong for the Mehta brothers.
After Harshad Mehta scam, a series of other scams also came to light, including the Ketan Parekh scam and the 2003 Telgi scam.
Ashwin Mehta’s role in the scam
Though Harshad Mehta was the mastermind behind the whole fiasco, a scam of this magnitude and complex nature cannot be perpetrated by one man alone and requires critical assistance from close allies. Ashwin Mehta, who is Harshad Mehta brother in this whole situation, was the go-to man of Harshad Mehta, and him being his brother, Harshad counted on him big time when dealing with critical problems and Ashwin Mehta was his trusted ally in the whole fiasco.
Aftermaths of the Scam 1992
On April 23, 1992, when the scam got busted by journalist Sucheta Dalal, the tables turned for Harshad Mehta, and all those who once regarded him as the "Amitabh Bachchan" of the stock market turned their backs on him and those who rode on his success till now had to face grim circumstances.
After Sucheta Dalal unfolded the whole scam, the tides turned against both Harshad and Ashwin Mehta. Investors lost confidence in Harshad Mehta, he got slapped with a number of cases and litigations against him, and Harshad and Ashwin Mehta even got jailed for three months.
After the scam, Harshad Mehta, who was a hero in the eyes of many, turned into a villain, and most of his well-wishers and friends of his turned into foes, but among the few people who stayed beside him in these tough times were his family including Ashwin Mehta.
After the scam, Harshad Mehta and Ashwin Mehta were slapped with around 600 civil lawsuits and 76 criminal charges, and huge chunks of the family assets were seized by the government authorities, with several tax dues imposed on Harshad Mehta. Most of the criminal cases against Harshad Mehta dropped after his tragic death in Tihar jail in 2001 but Ashwin Mehta and the Mehta family were left to bear the brunt of the aftermath of the scam.
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Where is Harshad Mehta Brother Ashwin Mehta Now?
Though after the untimely death of Harshad Mehta, most of the criminal charges against him were cleared, Ashwin Mehta was left to face the battle on his own. After the scandal, Ashwin Mehta distanced himself from the stock market and went on to pursue his career in law.
Ashwin Mehta was jailed for 5 years and a penalty of Rs.5 lakhs for conspiring with the management of ONGC in the case of diversion of funds of worth 680 crores during the period 1989-91.
Ashwin Mehta was also jailed for a brief period, but in 2018, he was acquitted of all charges by a special court, with the SBI fraud case being the last one from which he was acquitted. Not only this, but he also had to repay a hefty amount of Rs.1700 crore to several banks as dues for all the fraudulent activities that took place in 1992, which eroded Ashwin Mehta's net worth.
Ashwin Mehta is now practicing law in Mumbai High Court and Supreme Court. He has fought a lone battle for years to clear his and his family's name from the scandal in which he has finally emerged victorious and is leading a respectable life now.
What is Ashwin Mehta’s net worth Now?
Ashwin Mehta's net worth is now estimated to be around 25-30 crores, and he is living a respectable life with his family in Mumbai.
You don't have to indulge in fraudulent practices to earn good money from the stock market. You can also earn good profits by learning various trading strategies and indicators and applying them in the volatile market.