A steel trader in Andheri has reportedly been duped of ₹36 crore by two directors of a private company who lured him with promises of delivering steel at prices lower than the market rate. The Andheri Police have registered a case of fraud and misappropriation against the accused and handed over the investigation to the Mumbai Police's Economic Offences Wing (EOW).
The accused have been identified as Murtaza Yunus Shakir and Shireen Yusuf Shakir, both directors of Zengross Hardware Trading Company, according to the police.
The complainant, Siddharth Prafulla Magia, is a steel trader residing in Nityanand Nagar, Andheri. He owns DI Steels Private Limited, with its office located on Old Nagardas Road near Chinoy College. Magia got acquainted with the accused last year, as both were involved in the steel business. Over time, the duo gained his trust and assured him of delivering steel at prices lower than the market rate, offering margins between 5-15%.
From August to December 2023, Magia placed several orders for steel with the accused. Initially, the deliveries were made on time, building confidence in the partnership. Encouraged by this, Magia placed a significant order of 6,329 metric tonnes of steel between February and May 2024, for which he paid ₹36.15 crore to the company.
However, the promised deliveries were not made, and the accused began dodging Magia with various excuses. Despite multiple follow-ups, the steel was not delivered, nor was the payment refunded.
When attempts to recover his money failed, Magia lodged a complaint with the Andheri Police. The investigation revealed that the accused had misled Magia with false promises and misappropriated the funds.
Given the magnitude of the case, the police have handed it over to the Economic Offences Wing. They are also probing whether the accused have duped other traders in a similar manner.
Further investigations are underway.