A factory in India that makes industrial kitchen appliances has filed for bankruptcy protection, after the factory’s chief executive and his family were indicted on charges of embezzlement, fraud and money laundering.
The filing was made Monday in New Delhi’s high court.
The government of India, which is trying to rescue the factory, did not immediately respond to requests for comment.
The company, which has not yet filed a formal statement of claim, is also being sued in federal court in New Jersey, where the former chief executive, Ranjit Singh, was arrested last week.
According to the indictment, the company, named Industrial Kitchen, defrauded more than 100 people of about $4 million in the United States and Canada.
The indictment alleges that Singh and two of his business partners defraied at least $500,000 in tax credits from the U.S. government.
In an interview with CBS News on Sunday, Singh said he was innocent of the charges.
But he has been under house arrest in New York, where he lives with his wife and four children.
He has also been indicted on other charges in the U, including wire fraud, tax evasion and tax evasion, and he was previously arrested in Germany on charges related to fraud.
The case against Singh was first reported by Reuters.