Indian-Origin Executive Behind ‘Breathtaking’ $500 Million BlackRock Fraud: Report

A US-based entrepreneur of Indian origin has been accused of orchestrating a massive $500 million loan fraud, according to a report by Wall Street Journal.

BlackRock’s private credit arm, HPS Investment Partners, and other American lenders are now trying to recover funds worth $500 million after they have been hit by what they describe as “breathtaking” fraud.

Bankim Brahmbhatt, owner of US-based Broadband Telecom and Bridgevoice, has been accused of falsifying accounts receivable (AR) that were meant to be used as loan collateral, as per the news outlet. Brahmbhatt allegedly created fake customer accounts and receivables to secure multimillion-dollar loans from US lenders.

BlackRock and other lenders filed a lawsuit in August, urging that ventures

led by Brahmbhatt owe them over $500 million in connection with the allegations they’ve launched against them. As per the websites of the accused’s businesses, they sell services and infrastructure to other telecom companies.

The fraud comes at a sensitive time for BlackRock, which acquired HPS Investment Partners earlier this year as part of its expansion into private-credit markets.

According to the lawsuit, Brahmbhatt’s companies presented an illusion of financial health on paper while allegedly moving money offshore to India and Mauritius.

The alleged loans were financed through French multinational bank BNP Paribas, which partnered with HPS to fund Brahmbhatt’s telecom ventures. HPS first lent money to one of his companies in September 2020, raising its exposure to $430 million by August 2024. Sources told the news outlet that BNP Paribas financed nearly half of these loans through two HPS credit funds.

When the loans were initiated, HPS hired Deloitte to verify Carriox’s assets through random customer checks, and later brought in accounting firm CBIZ for annual audits, the WSJ reported.

Trouble surfaced in July 2025, after an HPS employee came across irregularities with some email addresses that were believed to be linked to Carriox customers. Ultimately, the official filing, as detailed by the WSJ, indicated that lenders called out emails originating from fake domains that appeared to be impersonating real telecom companies. A similar pattern emerged in a review of past emails.

At first, Brahmbhatt reportedly responded to HPS’ alarming calls by saying that there was no reason to be concerned about anything. Shortly after that, he simply stopped answering phone calls.

An HPS employee who later visited the Garden City, New York offices of Brahmbhatt’s companies found the premises locked and deserted. The report said that the office remained vacant, with nearby tenants confirming that no staff had been seen entering or leaving in recent weeks.

Brahmbhatt is said to have filed for bankruptcy on August 12, the same day his telecom companies filed for chapter 11. According to the official US Courts website, Chapter 11 of the Bankruptcy Code generally provides for reorganisation, usually involving a corporation or partnership.

Brahmbhatt is the founder of Bankai Group, with over 30 years in telecom. His firms, Broadband Telecom and Bridgevoice, supply infrastructure and services to global operators. His LinkedIn profile is reported to have been deleted as the fraud case continues to unfold.