Caught red-handed: Micromax co-founders arrested for bribing officials
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Corporate Aug 8, 2013

Who is arrested Micromax co-founder Rajesh Aggarwal? All you need to know

By Firstbiz Staff

The Central Bureau of Investigation (CBI) arrested Rajesh Agarwal and Manish Tuli co-founders of Micromax Informatics for allegedly giving a bribe of Rs 30 lakh to two junior employees of the North Delhi Municipal Corporation for clearance to a banquet hall construction.

Along with Rajesh Agrawal and Manish Tuli, both of Micromax Informatics, CBI sleuths also arrested two junior officials of the municipal corporation and carried out searches at 15 locations including residential and official premises of the MCD officers.

Rajesh Aggarwal of Micromax. PTI

Rajesh Aggarwal of Micromax. PTI

CBI sources said they got a tip-off that Agrawal and Tuli had entered a deal with the engineers of the civic body to get clearance for construction of their banquet hall in the Wazirpur area in exchange of bribe of Rs 50 lakh. The sources alleged that Agrawal and Tuli negotiated with the MCD officials and brought down the alleged bribe amount from Rs 50 lakh to Rs 30 lakh.

According to Micromax website, Rajesh Agarwal, co-founder of Micromax Informatics is a key force behind one of the largest mobile brand in India in terms of volumes.

With an enriching experience of 22 years, Rajesh has orchestrated strategic accomplishments that, together with ground-up development, allowed Micromax to assemble a portfolio amongst the top-tier handset manufacturers that serve consumers across the globe.

Rajesh has been instrumental in advocating innovative product strategies, business restructuring and channel management as the building blocks to create a strong base for the organization.

Inspired by Warren Buffett, Rajesh an electrical engineer encompasses from him the rich virtues of will strength, determination and risk-taking ability and applies them across all diversification and growth to emerge as a victor.

An outdoor sports lover, Rajesh shows keen interest in volley ball, cricket and table tennis. He is fond of travelling to new places and exploring different cultures. In his leisure he reads about successful leaders and draws inspiration through their ideologies.

According to Global Handset Vendor Market share report from Strategy Analytics, Micromax, is the 12th largest handset manufacturer in the World.

Based in Gurgaon and Haryana, Micromax focuses on manufacturing mobile telephones, tablets, data cards and LED televisions. It has 23 domestic offices across the country and international offices in Hong Kong and Dubai.

Micromax is the third largest mobile brand in India with a market share of 6.9% for the FY 2011. It entered the industry in the year 2000 as a software company when three of his Rajesh's friends - Sumit Arora, Rahul Sharma and Vikas Jain ventured together to script the success story of Micromax.

The two owners of Micromax mobiles were allegedly giving Rs 30 lakh bribe to MCD officials for clearance to a banquet hall construction.

It was also agreed that the illegal gratification will be allegedly paid to the two junior officials of civic body. Soon after getting information that the alleged bribe is to be paid at the Timarpur office of Agrawal and Tuli, a team of CBI rushed to the site.

During the trap operation, the agency allegedly caught Tuli and Agrawal handing over Rs 30 lakh to the junior officials of the MCD who were their to collect the amount on behalf of a Superintendent Engineer, an Executive Engineer and two Junior Engineers, all allegedly part of the conspiracy, they said.

After catching Agrawal, Tuli and two MCD officials "red-handed", CBI teams carried out searches at 15 locations including the residential and official premises of the MCD officers, they said. Officials of Micromax mobiles were not immediately available for comment.

CBI teams recovered cash worth Rs 40 lakh from the residence of an MCD Junior Engineer Kapil Dev. The sources said searches are going on and agency is on the trail of other MCD officials.

With inputs from PTI

by Firstbiz Staff

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