Our Bureau
Washington, DC
Digvijay “Danny” Gaekwad, an Indian American businessman and investor from Florida has upped his ante and is planning to take up his case to the highest of diplomatic level in US, even raking up his attempt to acquire a majority 55% stake in Religare Enterprises to the Prime Minister of India, Narendra Modi in his recent visit to US.
As per Gaekwad, he is prepared for PM Narendra Modi’s invitation to investors for development and growth of India but expressed his strong dis-approval for the British Raj era bureaucracy in obstructing the path with interminable procedures for delaying his $700 million worth of investment in financial services company Religare.
The motivation to follow PM Modi’s drive for foreign direct investment (FDI) has been burdened by the procedural delays and bureaucratic hurdles in India. Gaekwad has brought up the matter with Senator Rick Scott of Florida, the White House, and the Trump Administration, in his pursuit of an opportunity to invest in India through his acquisition of Religare. It is highly likely that his acquisition plan will be taken up with Prime Minister Narendra Modi in his ongoing US visit.
Danny Gaekwad, the US-based investor, is seeking a fair opportunity to acquire the financial services firm and has blamed bureaucratic hurdles in India citing various regulatory permissions to steer his acquisition plan to its logical conclusion, by depositing the necessary funds as mandated by the Supreme Court of India as part of his counter-offer for the acquisition of Religare Enterprises.
Gaekwad is planning to appraise Marco Rubio, Secretary of State in President Trump’s administration while seeking fairness and justice in the deal to acquire 55% of stake in Religare Enterprises.
Gaekwad urged PM Modi to fix the bureaucracy as $700 million of his investment is an investment that helps India and not a favor. Gaekwad is steadfast in his commitment to the investment, but cautions that these obstacles account for the low level of foreign direct investment in India.
Late Sunday, Gaekwad expressed his utter frustration on the treatment being given to the US investors who believes in growth story of India under the leadership of PM Modi and said, “I have no choice left but to place my case to the American lawmakers so as to get fair and equitable treatment from the Indian authorities. I am going to raise these questions to Prime Minister Narendra Modi also during his visit to the US. I will apprise him how US investors are treated.”
Meanwhile, Gaekwad expressed his gratitude to the Supreme Court of India for giving him an opportunity to deposit ₹600 crore by February 12 to acquire Religare.
“I am offering ₹275 a share for Religare while the other offer is ₹235 a share. The regulator should have given me a fair opportunity but I was made to litigate till the highest court of the land,” Gaekwad promised to deposit ₹600 crore by the deadline. But according to him, transferring money has been a logistical nightmare.
Burning midnight oil to meet the stipulated timeline for funds transfer, he was exhausted admitting the procedural delays and said, “I’m scrambling to transfer the money. I have proof of funds, but some banks require RBI clearance and other approvals. I’ve been up since 4 AM trying to work through these hurdles.”
Gaekwad made the counter offer for Religare Enterprises with an assertion that Burmans offer under values the company which has huge potential.
Burmans have made the open offer for Religare after the family acquired a 25% stake in the company. Surprisingly, the management led by Rashmi Saluja has also opposed the Burmans offer saying the company should get a far better value.
