DC Design Founder Dilip Chhabria Arrested Over DC Avanti Car Scam

• The scam was uncovered when Mumbai Police were investigating a DC Avanti running on fraudulent numbers.

• It was uncovered that around 90 units were bought by DC Design on multiple loans by posing as customers for their own manufactured cars.

• Future of DC Design is currently uncertain with Dilip Chhabria’s arrest.

DC Design, now called DC2, the brainchild of the DC Avanti sports car, is known for creating wacky concept cars and giving existing models an extreme makeover. Its founder, Dilip Chhabria, has been arrested by the Mumbai Police over alleged financing and forgery scams involving the DC Avanti.

The scam came to light when Mumbai Police were investigating a DC Avanti running on bogus numbers. Once the owner submitted the original documents of the car, it was found that another car with the same engine and chassis number was registered in Haryana. Further investigation revealed that with 120 DC Avanti cars sold, the Dilip Chhabria Designs Pvt Ltd had taken multiple loans, averaging Rs 42 lakh per car, by posing as customers for its own manufactured cars. As many as 90 units were sold this way. The damage to the government exchequer due to the tax evasion scam is still being investigated.

Launched in 2016, the DC Avanti was conceived as India’s first sports car. It was powered by a mid-engined 2.0-litre four-cylinder turbocharged engine that makes 250PS and 340Nm of torque. Paired to a 6-speed manual transmission, power was sent to the rear wheels. It garnered a price tag of Rs 34.90 lakh (ex-showroom).

With Dilip Chhabria’s arrest, the future of DC Design is uncertain. Will this be the end of the company or will it live under a new owner? Only time will tell. Stay tuned for updates.