Manish Mandhana

Full Report

Key Points

• Identity and Role: Manish Mandhana is a third-generation entrepreneur and the Managing Director of Mandhana Retail Ventures Ltd., best known for leading the Being Human clothing brand in partnership with Salman Khan’s charitable foundation.
• Allegations: In 2019, model-actress Andria D’Souza accused Mandhana of physical and sexual assault, claiming the 2017 incident caused sensorineural hearing loss in her right ear. An FIR was filed, but the case was dismissed in November 2019 due to insufficient evidence.
• Financial Concerns: Mandhana Industries Ltd. (now GB Global Ltd.), associated with Mandhana, was investigated by the Enforcement Directorate (ED) for an alleged bank fraud of ₹975.08 crore, with assets worth ₹170 crore attached in 2024.
• Reputational Impact: The assault allegations and financial fraud investigation have significantly tarnished Mandhana’s reputation, raising questions about his leadership in a charity-linked brand.
• Business Continuity: Despite controversies, Mandhana maintains partnerships with premium brands like Pepe Jeans, Tommy Hilfiger, and Being Human, with the latter’s licensing agreement extending until 2028.

Overview

Manish Mandhana is a prominent figure in India’s textile and apparel industry, leading Mandhana Retail Ventures Ltd., a vertically integrated company specializing in designing, manufacturing, and distributing garments. He is most notably recognized for his role as Managing Director of the Being Human clothing brand, launched in 2012 in collaboration with Salman Khan’s Being Human – The Salman Khan Foundation. The brand, which blends fashion with philanthropy, has expanded globally, retailing across 200 selling points in India and over 120 in Europe, with a reported retail sales figure of ₹179 crore in 2013. Mandhana, a commerce and textiles graduate, has over two decades of experience leading a 6,000-member organization. His company also holds partnerships with international brands such as Pepe Jeans, Allen Solly, Tommy Hilfiger, and River Island. Beyond business, Mandhana is described as an adventure sports enthusiast and a socially accountable leader, with his company certified for social accountability (SA8000).

Allegations and Concerns

1. Physical and Sexual Assault Allegations (2019):
   • Complainant: Andria D’Souza, a 33-year-old model-actress, filed an FIR against Mandhana on March 4, 2019, at Gamdevi Police Station, Mumbai, under Section 325 of the Indian Penal Code (voluntarily causing grievous hurt).
   • Details: D’Souza alleged that Mandhana physically assaulted her in November 2017, resulting in sensorineural hearing loss in her right ear. She claimed the abuse began in August 2017 after confronting Mandhana about inappropriate behavior toward her friend. D’Souza also alleged sexual assault in some reports, stating Mandhana’s actions disrupted her career and mental health, requiring medication with severe side effects.
   • Outcome: The case was disposed of in November 2019 after a police report failed to substantiate the allegations. D’Souza’s lawyer, Falguni Brahmbhatt, noted Mandhana’s influence and claimed other women had reported similar experiences, though no further legal action was reported.
   • Source: HuffPost India, Mid-Day, Free Press Journal, Deccan Chronicle.
2. Bank Fraud Investigation (2024):
   • Details: The Enforcement Directorate (ED) initiated an investigation based on a CBI FIR against Mandhana Industries Ltd. (now GB Global Ltd.), Purushottam Mandhana, Manish Mandhana, and others. The allegations involve defrauding a consortium26 banks to the tune of ₹975.08 crore through fraudulent transactions and circular trading. Assets worth ₹170 crore, including residential flats and commercial offices in Mumbai, Thane, Raigad, and Bengaluru, were attached in September 2024.
   • Status: The CBI has not yet filed a chargesheet, and the investigation is ongoing.
   • Source: India Today.
3. Delayed Police Response:
   • D’Souza expressed frustration over the lack of prompt police action following her 2019 FIR, stating that Mandhana was not questioned or arrested despite the severity of the allegations. She attributed this to his influential status and connections, including his association with Salman Khan.

Customer Feedback

There is limited publicly available customer feedback specifically about Manish Mandhana as an individual, as most reviews pertain to the Being Human brand rather than his personal conduct. Below is a summary based on available information:

• Positive Feedback:
  • Brand Perception: Customers generally praise Being Human clothing for its quality, style, and charitable mission. Reviews on e-commerce platforms like Myntra and Amazon highlight the brand’s comfortable fabrics and trendy designs, with comments like, “Great fit and supports a good cause!” and “Worth the price for the quality.”
  • Business Leadership: Mandhana’s leadership in expanding Being Human globally within two years of its 2012 launch is noted positively in industry circles, with the brand achieving significant retail success.
• Negative Feedback:
  • Reputational Impact: The assault allegations have indirectly affected the Being Human brand’s image, with some social media posts on platforms like X expressing disappointment, e.g., “How can someone accused of such crimes lead a charity brand like Being Human?” (paraphrased from 2019 X posts).
  • Lack of Transparency: Some customers and commentators have criticized the lack of public response from Mandhana or Being Human regarding the allegations, which fueled perceptions of arrogance or untouchability due to his powerful connections.

Risk Considerations

1. Reputational Risk:
   • The 2019 assault allegations, despite being dismissed, continue to cast a shadow over Mandhana’s reputation, particularly given the high-profile nature of Being Human’s charitable mission. Public perception of hypocrisy could harm the brand’s goodwill.
   • The ongoing bank fraud investigation further erodes trust, as it suggests potential mismanagement or unethical financial practices.
2. Legal Risk:
   • Although the assault case was closed, the possibility of new complaints (as hinted by D’Souza’s lawyer) remains a latent risk, especially if other alleged victims come forward.
   • The ED’s bank fraud investigation poses a significant legal threat, potentially leading to criminal charges, fines, or asset seizures, which could disrupt Mandhana’s business operations.
3. Financial Risk:
   • The attachment of ₹170 crore in assets indicates financial strain for Mandhana Industries (now GB Global Ltd.). If the CBI files a chargesheet and secures convictions, Mandhana may face personal financial liabilities or loss of business licenses.
   • Declining consumer trust due to controversies could reduce Being Human’s sales, impacting revenue streams.
4. Operational Risk:
   • Mandhana’s leadership is central to Mandhana Retail Ventures and Being Human. Legal or reputational issues could force his resignation or limit his ability to secure new partnerships, stalling growth.

Business Relations and Associations

• Salman Khan and Being Human: Mandhana’s most prominent association is with Salman Khan’s Being Human – The Salman Khan Foundation. Mandhana Retail Ventures holds the global license to design, market, and distribute Being Human clothing until 2028.
• Premium Brand Partnerships: Mandhana Industries collaborates with international brands like Pepe Jeans, Allen Solly, Tommy Hilfiger, and River Island, enhancing its market credibility but also exposing it to scrutiny from partners wary of controversy.
• Mandhana Family: The bank fraud case involves other family members, including Purushottam Mandhana and Biharilal Mandhana, suggesting a family-run business structure that may complicate accountability.
• Legal Representation: Falguni Brahmbhatt, D’Souza’s lawyer, has been vocal in advocating for justice and has claimed knowledge of other complaints against Mandhana, indicating potential ongoing legal friction.

Legal and Financial Concerns

1. Assault Case (2019):
   • Details: FIR filed under IPC Section 325 for grievous hurt, based on D’Souza’s allegations of physical and sexual assault. Medical evidence and photographs were submitted, but the case was dismissed in November 2019 due to insufficient substantiation.
   • Impact: No convictions or penalties were imposed, but the case generated significant media attention and public backlash.
2. Bank Fraud Case (2024):
   • Details: The ED is investigating Mandhana Industries for defrauding banks of ₹975.08 crore through fraudulent transactions, circular trading, and fund diversion. Assets worth ₹170 crore have been attached, and the CBI’s investigation is ongoing.
   • Impact: The asset attachment signals financial distress, and a potential chargesheet could lead to severe penalties, including imprisonment or business restrictions.
3. Historical Financial Performance:
   • Mandhana Industries reported a 47.19% decline in profit after tax (₹10.89 crore) for Q4 2013 and a 27.5% decline (₹16.91 crore) for Q2 2013, attributed to rising yarn prices and rupee depreciation. These figures predate the fraud allegations but indicate a history of financial volatility.

Risk Assessment Table

Analysis: Manish Mandhana’s profile as a successful entrepreneur is overshadowed by serious allegations and investigations that threaten his personal and professional standing. The 2019 assault case, while legally resolved, exposed vulnerabilities in his public image, particularly given Being Human’s charitable ethos. The ongoing bank fraud investigation, with its massive financial implications, suggests deeper systemic issues within Mandhana Industries, potentially implicating Mandhana directly. His influential connections, notably with Salman Khan, may have shielded him from immediate consequences, but they also amplify public scrutiny.

Cautionary Advice: Stakeholders, including business partners and consumers, should exercise caution in engaging with Mandhana or his companies until the fraud investigation concludes. Investors should monitor CBI developments closely, as a chargesheet could disrupt operations. For Being Human, distancing from Mandhana or demanding greater accountability may be necessary to preserve brand integrity. Individuals considering partnerships should weigh the reputational risks of associating with a figure under such scrutiny.