Former Indian American monk, now billionaire, investigated for tax evasion
Indian-American billionaire Manoj Bhargava is under investigation by United States tax authorities for alleged tax abuse. According to The Wall Street Journal, Bhargava, who is known for his 5-Hour Energy drink, is accused of improperly reducing his tax bill by transferring a $624 million stake in his company to Indu Rawat, a Canadian citizen and relative of a guru he befriended in India. The Senate Finance Committee alleges Bhargava attempted to conceal Swiss bank accounts with Rawat's assistance.
Bhargava's tax evasion tactics revealed amid broader probe
The allegations against Bhargava emerged as part of a broader investigation into billionaires using charitable donations or front people to evade taxes. His activities came to light amid heightened pressure on Swiss banks and other wealth havens to reveal customer data. Geneva-based Pictet, one of Bhargava's main banks, revealed information about its wealthy clients after admitting to hiding around $5.6 billion during an investigation.
Bhargava's spokesperson defends his tax practices
Responding to the allegations, a spokesperson for Bhargava said he follows all laws and tax rules. They stressed Bhargava's commitment to philanthropy and his business, saying he follows laws, tax rules, and IRS rules. The spokesperson also noted Bhargava's "zero profit" business model where he says he earns from the rich to help the poor.
Bhargava's journey from monk to billionaire philanthropist
Bhargava was born in 1953 into a wealthy family in northern India and moved to the United States at age 14. He briefly attended Princeton University before spending over a decade as a monk in India. After returning to the US, he found success with his 5-Hour Energy drink and positioned himself as a philanthropist, donating hundreds of millions to those in need.
