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Chandigarh Court Issues Notice To In Multi-crore Jewellery Fraud Case
In a significant development concerning and , a has issued a notice to the , along with Alvira Khan Agnihotri and the directors of . The comes in response to a filed by a local businessman, Arun Gupta, who alleges substantial financial losses following his investment in a jewellery franchise venture.
The court, presided over by Judicial Magistrate Dr. Ambika Sharma, has invoked the procedural provisions of the (BNSS). In its order, the court observed: “This court deems it appropriate to issue notice to as per at . Therefore, notice to be issued for on filing of RC/AD.” This directive signals that the court is currently evaluating the merits of the complaint before determining whether to formally take of the alleged offences.
The Genesis of the Dispute
The complainant, Arun Gupta, claims to have invested approximately Rs 3 crore into the establishment and operation of a Being Human jewellery showroom in Chandigarh. According to the complaint, this investment was predicated on assurances of high profitability and comprehensive business support provided by , which served as the licensed marketer for the brand.
Gupta contends that he adhered strictly to the terms of his agreement, investing over Rs 1 crore specifically into the infrastructure and build-out of the retail showroom. However, he alleges that the promised operational support—crucial for maintaining a brand-associated retail outlet—failed to materialize. The situation, he claims, deteriorated rapidly due to the irregular supply of jewellery inventory, which hindered his ability to conduct business effectively.
“The supplying outlet has been shut since , which hurt both inventory and sales,” the complaint alleges, further asserting that the cumulative financial damage incurred from these disruptions amounts to several crores.
Allegations of
Beyond the logistical grievances regarding supply chains and operational support, the complaint touches upon the role of brand prestige in franchise acquisitions. Gupta alleges that he was specifically assured that the showroom would be inaugurated by Bollywood actor Salman Khan, a primary figure associated with the Being Human brand. The complainant asserts that this assurance played a significant role in his decision-making process when committing his capital.
Instead of the actor, the inauguration was attended by his brother-in-law, actor Aayush Sharma. While a change in the guest list for a store opening might typically be viewed as a professional disappointment, in the context of this litigation, the complainant argues that this was part of a broader pattern of used by six individuals associated with the company to entice investors into the venture. The claim centers on the argument that these representations were knowingly misleading, thereby triggering the allegations of under relevant legal statutes.
Legal Procedure and the BNSS Framework
The case is currently navigating the pre- stage under the newly implemented . The invocation of the proviso to Section 223 of the BNSS reflects a cautious judicial approach, allowing the court to ensure that all accused parties are informed of the allegations before the judiciary decides whether there are sufficient grounds to proceed with a formal .
By scheduling the matter for , the court has provided a window for the accused to respond to the allegations. At this juncture, the court has made no finding regarding the veracity of the claims, and the proceedings remain strictly at a preliminary phase.
Implications for the Franchise Industry
The case raises critical questions regarding the liability of brand foundations and parent companies in franchise-based business models. Often, business owners enter into agreements with third-party marketers believing they are dealing directly with the brand's core entity. When operational failures occur, determining the chain of liability between the licensed marketer, the brand foundation, and the brand’s high-profile stakeholders becomes a complex legal challenge.
For legal professionals and corporate counsel, this case underscores the necessity for airtight and exhaustive in . In sectors where brand identity is a primary driver of investment, ensuring that all representations made during the pre-contractual phase are reduced to writing—and that such representations are explicitly covered by the liability clauses of the parent entity—is paramount.
Conclusion
As the Chandigarh court prepares for the next hearing in October 2026, the legal community will be watching closely to see how the court interprets the roles of the various parties involved in the Being Human jewellery franchise. Whether the allegations of can be sustained legally, or whether this will be viewed as a standard commercial dispute involving third-party contract failures, remains to be seen. For now, the matter serves as a stark reminder of the financial risks inherent in high-profile retail investments and the importance of clear, enforceable contractual agreements in an increasingly litigious commercial landscape.
