Scam in the name of crowdfunding? Impact Guru CEO booked for alleged Rs 4.5 crore fraud for baby's treatment
Mumbai: Impact Guru, a popular crowdfunding platform in India, has become the centre of controversy following an FIR against a Nagpada-based couple and the platform's CEO for alleged fraud. They have been accused of allegedly raising approximately Rs 4.5 crore from the public under the pretence of funding treatment for a 4-month-old infant with a rare neuromuscular disorder. The platform, however, has denied these allegations.
The couple has been accused of transferring the donation funds into their personal bank accounts rather than the hospital's account. Impact Guru is facing accusations of initiating the crowdfunding campaign without verifying the child's medical details, thereby misleading the public.
Additionally, former actress Sana Khan has come under scrutiny for promoting the campaign. She appealed to her Instagram followers to donate for the 4-month-old infant’s treatment. The child, reportedly undergoing care for spinal muscular atrophy (SMA) at Hinduja Hospital, required ₹17 crore for the treatment.
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The incident came to light when a social worker named Arif Shaikh, who heads Navtarang Charitable Trust came across a story posted on actress Sana Khan's Instagram account which specified about this girl's situation.
Shaikh became curious to investigate the matter as this was not the first time he had heard the story. According to his statements, the accused couple posing as the parents of the child previously in January 2024 approached him.
Since SMA 1, or spinal muscular atrophy type 1, is a genetic disease that affects muscles and nerves, the couple claimed that it would endanger their child's life if left untreated. Therefore, they requested him to raise funds for her treatment.
Due to the massive amount, the social worker asked the couple to provide hospital documents detailing expenditures required for the treatment. However, the couple allegedly failed to provide any such documents which prompted Shaikh to decline their request.
After coming across Actress Sana's post, Shaikh contacted the Hinduja Hospital and enquired about the child. The hospital authorities denied claims of a child being admitted to their hospital with a rare neuromuscular disorder. As per a Newsx report, the hospital confirmed that crowdfunding campaigns should only include official hospital accounts, not personal ones.
A police officer from Matunga Police Station told HT, "They said they didn’t have any documents, so he told them he can’t help in that case. Later, he saw on social media several small-time actors putting up posts about the girl from their handles. He called up the hospital where the couple had claimed the child was admitted and found that nobody by that name was being treated. However, the hospital said the parents had approached them for a letter pad with their bank account number."
Following this, Sheikh discovered that the couple had gathered around Rs 4.5 crore between January and June. He claimed that they reportedly transferred the amount to their personal accounts defrauding innocent donors.
As a result, he approached the police and filed an FIR against the couple and the platform's CEO under sections 420 (cheating), 406 (criminal breach of trust), 120B (criminal conspiracy), 465 (forgery), 467 (forgery of valuables security) and 34 (common intention) of the Indian Penal Code.
As per a TOI news report, Deputy Commissioner of police (zone 4) Raghasudha confirmed that the funds were not used for the child's treatment, but instead misappropriated for personal gain. The police will investigate the matter and soon summon the trio for questioning in this matter.
Response from Impact Guru
Hours after the allegations surfaced through the media, the platform refuted the allegations and claimed that it is committed to transparency, accountability, and its mission to save lives. It also said that they have verified documents ready as evidence for the fundraising of the child's treatment.
Speaking with Free Press Journal, CEO of Impact Guru Piyush Jain said, "The parents of the child Naufil Kazi and Nikhat Khan approached his office seeking help in raising funds since their child Baby Inara was suffering from Spinal Muscular Atrophy (SMA) and the treatment would cost around Rs 14 crores since it involved the use of expensive injections imported from abroad. Following this Impact Guru put out an appeal for crowd funding and it received Rs 2.2 crore (and not Rs 4.5 cr as alleged by Sheikh).
Out of this about Rs 12 lakhs has already been used for the treatment of the child. Impact Guru receives donations for specific patients and the monies are spent on the treatment by Impact Guru."
Denying the accusation that the child was not admitted to the Hinduja Hospital, he said, "On two occasions the child was indeed admitted. On the day Sheikh called up the hospital, she was not there. But that does not mean that the child was never admitted there. In fact, the child’s care is being supervised by Dr. Neelu Desai, one of Mumbai’s foremost experts in SMA, who is associated with Hinduja Hospital."
Further, he explained about the expensive treatment, "The prescribed treatment, Zolgensma, costs a hefty sum upwards of Rs. 10 crore. While the financing of the procurement of Zolgensma is a significant task and an ongoing one, in parallel Risdiplam, another drug used for SMA treatment is also being used. The cost of treatment via Risdiplam that is spread across multiple years as prescribed and administered by the treating doctors also requires multiple crores. Every aspect of this fundraising campaign has been rooted in transparency and genuine medical necessity for which verified documentary evidence is already in place."
As per the India Today news report, Jain said, "We strongly urge the media and the public to investigate the facts thoroughly before making or sharing any further misleading statements. The truth will reveal that our efforts have been honest, transparent, and entirely dedicated to saving this child’s life. It is imperative that the truth of the facts are ascertained because it jeopardises the lives of thousands of other patients who are fighting for their lives with the assistance of ours and other crowdfunding platforms."
"We have complete faith that justice will prevail. We will continue to support this child and stand firm against any attempts to hinder our efforts or tarnish our reputation despite the harassment. We are racing against time to help Baby Inara get access to Zolgensma, and it is our humble request to the generous donors to extend their support for her," the statement further requested.
