Indian-Origin CEO Accused in "$500 Million Breathtaking Fraud" Against BlackRock-Backed Lenders

New York, NY – Bankim Brahmbhatt, the Indian-origin owner of US-based telecom services firms Broadband Telecom and Bridgevoice, is at the center of a major financial scandal, with American lenders—including BlackRock's private credit arm, HPS Investment Partners—alleging he orchestrated a scheme to fraudulently secure over $500 million in loans.

Lenders filed a lawsuit in August, accusing Brahmbhatt of manufacturing a "fictional balance sheet" by fabricating customer accounts receivable, which were then used as collateral to obtain the massive asset-based loans. The alleged deception, which one suit described as "breathtaking," is now under intense scrutiny.

Key Allegations and Details
Fabricated Collateral: The lawsuit claims Brahmbhatt's companies, including Broadband Telecom and Bridgevoice, presented entirely fake accounts receivable to HPS Investment Partners and other lenders, including BNP Paribas, to secure financing that grew to approximately $430 million by August 2024.

Discovery of Fraud: Red flags were raised in July 2025 when an HPS employee noticed suspicious email domains that appeared to be mimicking legitimate telecom companies. Subsequent independent investigations reportedly found that all customer emails and invoices provided to verify the debt were falsified, with some fraudulent contracts dating back to 2018.

The Vanishing Act: After being confronted by lenders, Brahmbhatt reportedly stopped all communication. His New York offices were found shuttered and empty, and he filed for personal bankruptcy the same day his companies sought Chapter 11 protection in August.

Whereabouts Unknown: Lenders have informed clients they believe Brahmbhatt has left the country for India, though his exact location remains unconfirmed. Luxury cars were spotted at his residence, but no one answered the door when reporters visited.

Disputed Allegations: Through his attorney, Brahmbhatt has publicly disputed the fraud allegations.

The legal action and the subsequent bankruptcy filings of Brahmbhatt's companies, which collectively owe more than half a billion dollars, highlight rising concerns about transparency in the fast-growing private-credit market. The investigation into the full scope of the alleged fraud and efforts to recover the funds are ongoing.

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