CCD's statement amid founder VG Siddhartha going missing: 'Taking authorities' help; will ensure continuity'

Amid the ongoing search operation to find missing Cafe Coffee Day founder VG Siddhartha, CCD itself has written a letter to the National Stock Exchange (NSE) underscoring 'continuity of business' and that any update in the matter will be briefed. The statement released on July 30 stated the following:

"This is to inform you that Mr VG Siddhartha Chairman and Managing Director of Cafe Coffee Day Enterprises Limited has gone missing since yesterday evening. We are taking the help of concerned authorities. Company is professionally managed and led by competent leadership which will ensure continuity of business." 

 

Meanwhile, in what is believed to be his last letter, addressed to the company's board, VG Siddhartha emotionally wrote about having failed as an entrepreneur and in his goal of creating a profitable business model, though he did also allege harassment by I-T authorities. "I hope someday you will understand, forgive and pardon me," he said, also making references to the recent sale of his Mindtree stake. 

Here is the full letter by VG Siddhartha:

To our Board of directors and Coffee Day family, 

After 37 years, with strong commitment to hard work, having directly created 30,000 jobs in technology company where I have been a large shareholder since its founding. I have failed to create the right profitable business model despite my best efforts. 

I would like to say I have given it my all. I am very sorry to let down all the people that put their trust in me. I fought for a long time but today I have given up as I could not take any more pressure from one of the private equity partners forcing me to buy back shares. A transaction I had partially completed six months ago by borrowing a large sum of money from a friend. Tremendous pressure from other lenders lead to me succumbing to the situation. There was a lot of harassment from the previous DG income tax in the form of attaching our shares on two separate occasions to block our Mindtree deal and then taken possession of our Coffee Day shares, although the revised returns have been filed by us. This was very unfair and has led to a serious liquidity crunch.

I sincerely request each of you to be strong and to continue running these businesses with a new management. I am solely responsible for all mistakes. Every financial transaction is my responsibility. My team, auditors and senior management and totally unaware of all my transactions. The law should hold me and only me accountable, as I have withheld this information from everybody including my family.

My intention was never to cheat or mislead anybody. I have failed as an entrepreneur. This is my sincere submission. I hope someday you will understand, forgive and pardon me. 

I have enclosed a list of our assets and tentative value of each asset. As seen below our assets outweigh our liabilities and can help repay everybody.

READ: Cafe Coffee Day founder VG Siddhartha goes missing, search operation underway

How VG Siddhartha went missing

The founder of Cafe Coffee Day, VG Siddhartha, who is the son-in-law of former Karnataka Chief Minister SM Krishna, was last seen near the Netravati river in Mangalore on Monday evening. 

As per details received so far from his driver's statement to police, Siddhartha left his Bengaluru residence with his driver at 11 am on Monday and enroute to his estate in Sakaleshpur, changed course to Mangalore. At 6:30 pm, near Mangalore, just 2 kms from where the Netravati river joins the sea, Siddhartha had the car stopped on a bridge, walked for a short while, asked his driver to park the car ahead and said he will join him after a short walk. The driver parked the car almost a kilometer away, and waited for Siddhartha for an hour. When he didn't return, he tried calling his mobile which was turned off. Panicking, the driver informed the family.  

READ: Cafe Coffee Day founder VG Siddhartha missing, driver who he travelled with last recounts what happened

Search operations are underway to find CCD founder

Mangalore Police Commissioner S Patil on Tuesday informed that Siddhartha was on his way to Sakaleshpur when he allegedly asked his driver to take a detour through Mangalore. As per the inputs from the Mangalore Police Commissioner on reaching Netravati Bridge, he got down from the car and told his driver to go ahead and stop while he would come walking.

The Police Commissioner further informed that search operations are underway and dog squad was being used. Boat services and help of local fishermen were being deployed to search in the river. Meanwhile, Police is also checking the people he contacted last. 

Leaders visit SM Krishna's resident as his son-in-law and CCD founder goes missing

Karnataka CM BS Yeddyurappa and Congress leader DK Shivakumar, BL Shankar visited former Karnataka CM, SM Krishna at his residence in Bengaluru, early morning on Tuesday. Siddhartha is married to Krishna's eldest daughter Malavika and has two children with her. People gathered at former Karnataka CM, SM Krishna's residence in Bengaluru as the news about his son-in law's disappearance spread. Siddhartha's wife and two sons who live with him in his Sadashivnagar residence in Bengaluru are currently in veteran politician SM Krishna's residence. 

READ: Cafe Coffee Day shares plunge 20% as founder VG Siddhartha goes missing