Indian Businessman Scams BlackRock Out of $500 Million in Massive Fraud

BlackRock’s private credit division, which reportedly lost over $500 million in a massive financial scam by an Indian businessman, Bankim Brahmbhatt, a U.S.-based telecom entrepreneur of Indian origin. BlackRock’s private-credit arm, HPS Investment Partners, is attempting to recover the funds after what insiders have called a “breathtaking” deception. Brahmbhatt, who heads Broadband Telecom and Bridgevoice, is accused of forging customer accounts and fake receivables to secure multimillion-dollar loans from U.S. lenders. Court filings from August allege that Brahmbhatt pledged non-existent revenue streams as collateral. His companies have since filed for Chapter 11 bankruptcy, reportedly owing more than $500 million to creditors. The fraudulent loans were reportedly financed through BNP Paribas, which collaborated with HPS to support Brahmbhatt’s telecom operations. HPS first extended financing in September 2020, with its total exposure reaching $430 million by August 2024. Sources cited by the Wall Street Journal (WSJ) claim that BNP Paribas covered nearly half of these loans through two HPS-managed credit funds. Investigations suggest that Brahmbhatt’s firms diverted loan proceeds to offshore accounts in India and Mauritius. The first warning signs appeared in July 2025, when HPS employees noticed suspicious email addresses associated with purported telecom clients. When questioned, Brahmbhatt denied any wrongdoing but soon ceased communication altogether. Investigators later discovered that his New York office was vacated, and his Garden City residence appeared deserted — although luxury vehicles, including a Tesla and a Porsche, remained parked outside. Sources told WSJ that Brahmbhatt may have fled the U.S. for India, though his attorney has denied these claims. Brahmbhatt is the founder of Bankai Group, a telecom conglomerate with over three decades of industry experience. His companies, Broadband Telecom and Bridgevoice, have provided network infrastructure and services to international carriers. However, as the fraud investigation deepens, his LinkedIn profile has been deleted.