Dawood Rawat: “I demand the return of MauBank, NIC, Britam, & ‘my hospital'”

At 81, Dawood Rawat, the former Chairman Emeritus of the defunct BAI Group, opens up about the collapse of his financial empire. Reflecting on his experiences and his expectations for the country, he answered questions from Nawaz Noorbux, Deputy CEO of the Défi Media Group, during a special edition of Info Soirée on Wednesday, 2nd April 2025, on TéléPlus.

We reproduce excerpts of the interview:

Nawaz Noorbux: That event set off the crumbling of the BAI Group. What are your feelings, ten years later, after the suffering endured by you and your family?

Dawood Rawat: My feelings remain the same as they were ten years ago. The suffering I witnessed around me – within my family, among former clients, and even among those who lost their lives – was shocking.

How could people do something like this to someone, to a company, without considering the inhuman consequences of their actions?

Since that time, this has stayed with me in my head. One cannot live in a society where such hatred reigns.

These people never considered the consequences of their actions, all of which were based on completely false elements.

There was no Ponzi scheme.

There was no issue with BAI. We had solutions. In fact, they knew we had solutions, which is why they acted so hastily that day—the day the Bramer Bank license was revoked.

I don’t believe there is anyone in Mauritius, or anywhere in the world, who can comprehend the scale of the catastrophe that befell us that day.

Nawaz Noorbux: At the time, it was claimed that BBCL lacked sufficient liquidity. Rs 350 million needed to be gathered to save the bank. That was the primary reason for suspending its operations. Is it true that the Rs 350 million could not be injected into BBCL?

Dawood Rawat: Once again, that is a criminal falsehood. In December 2014, before the previous regime came into power, the situation at BBCL was deemed acceptable by the Bank of Mauritius. This can be verified. Yes, the bank was expanding and required capital, but we had those funds.

What’s particularly striking is that during the first three months of 2015, not only did they attack us by withdrawing funds, but they also alerted their allies.

Several people ceased paying their debts. We’re talking about large groups with significant debts. Others sold their shares. This was a conspiracy that everyone knew about.

I felt like the “betrayed husband”. But towards the end, some friends confided in me that even within the boards of some major groups, people were saying:

“In 15 days, Dawood Rawat will be finished.”

Go ask Vishnu Lutchmeenaraidoo. He said in L’Express at the time, “I got him!” When they mentioned in Parliament in 2013 that a BAI company in Trinidad had gone bankrupt, they didn’t clarify that it had nothing to do with BAI Mauritius.

They continued spreading rumours. And this is nothing new.

In 1992, when BAI Mauritius entered the stock market, brokers refused to sell our shares.

When these individuals came to power, they used public institutions to orchestrate their revenge.

I’m talking about those who either didn’t like me or were upset that the BAI Group was entering sectors that were previously inaccessible to the common man.

That foolish Dawood Rawat thought he could be part of the system. He had to be punished.

Nawaz Noorbux: Was it because you financed the Labour Party too much at the time and didn’t help the MSM enough that they wanted to settle scores with you?

Dawood Rawat: On the contrary, I’ve already told you in an interview in Paris that the political party that received the least money was the Labour Party. Navin Ramgoolam has already given me a cheque, saying he had enough money. He thanked me.

There’s no politician in history who can say he didn’t come to see me. I’ve said it before:

In Mauritius, for a campaign, they ask for money… If you don’t give, they make you pay. If you don’t give enough, they make you pay. That’s what happened to me.

But I have proof that it was the MSM who received far more money than any other party. And not through me. Through my employees, without my knowledge.

Nawaz Noorbux: When you say “much more money,” how much did the MSM benefit from BAI and its subsidiaries?

Dawood Rawat: At least Rs 30 million!

Nawaz Noorbux: One of the accusations levelled against you is that, as the head of BAI, you were very close to Navin Ramgoolam, the then Prime Minister. Some claim that you abused this closeness. For instance, the Financial Services Commission (FSC) and other regulatory bodies warned you that you needed to comply with regulations.

There were so-called ‘related-party transactions’ that were viewed with suspicion.

Do you think, or at least acknowledge, that you overstepped the mark and abused this relationship?

Dawood Rawat: It was under the regime of Navin Ramgoolam that the issue of ‘related-party transactions’ was raised. Milan Meetarbhan was at the FSC at the time.

If you read the definition of ‘related-party,’ you’ll see that it’s not limited to entities that invest vertically within their own group but also horizontally.

So why weren’t other groups taken to task for investing horizontally in each other via ‘inter-related parties’? I have evidence.

Navin Ramgoolam didn’t just have one friend. I wasn’t always over at his house, eating and drinking. We were old friends. My grandfather and his father were friends.

So, to say that Navin Ramgoolam protected me… name one single project, apart from the Parliament project, that I secured under Ramgoolam’s regime?

As for me, I never received a contract to build any major project. How did we get the contract to refurbish the Parliament?

It’s because I bought a company that was on the brink of bankruptcy. The person I bought the company from, an expert in wood, told me, ‘If there’s a contract, I’d be happy to bid for it.’ And that’s how BAI got the contract.

We lost money because after the demolition, we discovered that the wood was rotting and needed replacement.

I would love for someone to come forward and talk about all these projects where Navin Ramgoolam supposedly favoured me…

Nawaz Noorbux: Returning to the issue of the BBCL licence revocation and the Rs 350 million: I’ve seen a letter from the authorities where you were granted more time to resolve the liquidity issue.

Then, suddenly, in the middle of the night, your license was revoked. Have you tried to understand, ten years later, what really happened, despite the extension granted?

Dawood Rawat: A few months after returning to the country, some people, who were earlier fearing for their lives, opened up and told me certain things. Believe me: that man who said, “I’ve got him,” he may be one of the most guilty of those behind the malicious actions against us.

For example, in the first three months of 2015, the issue of ‘related-party transactions’ had already been raised. We had a letter from 2013 giving us until 2016 to resolve the matter.

By 2014, we had reached 50% of ‘related-party transactions.’ I realised it would be difficult to meet the 10% threshold by 2016, so I decided to sell 90% of the group.

News of this spread across the world. Since November 2014, I had received offers from African and European funds.

In the first three months of 2015, I received offers from industry giants from Europe and South Africa, among others. I have proof.

I wouldn’t make such statements without evidence. I have Memorandums of Understanding and Confidentiality agreements.

When all this happened, a group came in to conduct due diligence with actuaries, among others, and asked to meet me.

One of them confided that he was interested in taking over the group but wanted me to retain 10%. I asked why.

He explained that he needed me: on one hand, he wanted me to stay on the board of the Kenyan branch, and on the other, to join the holding company board in South Africa.

I told them I wasn’t looking for a job. They responded that they needed my expertise to penetrate the Sub-Saharan African market, wanted to understand how I succeeded in the region, and asked me to help them.

This was two weeks before the axe fell on our group.

So why did we receive a letter in the morning saying we had until the end of April to pay Rs 350 million?

By midday, we sent a letter confirming that we had the Rs 350 million, but the offer was rejected.

We had until the end of 2016 to comply with the ‘related-party transactions’ rule. At that time, we had offers ranging from $50 million to $100 million.

But someone within the group was leaking information to Vishnu Lutchmeenaraidoo. I know there was a phone call that said:

“What are you doing, what are you offering them until the end of April? I want you to revoke their licence today.”

That’s why, in the afternoon, the Chairman of BBCL, who was an English gentleman, was called in to be handed the revocation letter—not to negotiate.

This was before even the board meeting in the evening. Who made that decision? I’m still asking myself who was behind it.

All these people involved in the whole BAI affair, they all knew me. They all came to my house when they needed me. They all called me when they needed me.

So why didn’t any of them call to say, “We have a problem with one of your companies?”

Even worse, I had scheduled a meeting with Basant Roi a few days before I left for England. For 45 minutes, he didn’t utter a word about the problems at the bank.

The same thing happened with Sir Anerood Jugnauth: after our 10-minute meeting, not a word was said about the company.

I thought they wouldn’t let this massacre happen. So many people lost money. People died. 11 people died.

Nawaz Noorbux: From stress?

Dawood Rawat: Exactly, including my 53-year-old sister-in-law. And now they say Navin Ramgoolam was protecting me?

He never protected me. We were friends, like many others, but he never granted me any favours.

The only thing he did was when they wanted to adopt a law against a product I was selling. In which country do you see something like this happening against a private company?

One MP even said it was to “counter the BAI…”

It was a heartless and merciless conspiracy. They caused huge harm. Within the first three months, they froze all our assets and seized everything I had built over 50 years of work, worldwide.

Only in my own country did they want to finish me…

Nawaz Noorbux: Roshi Bhadain, until recently, maintained that BAI was a Ponzi scheme, relying on BBCL, and that if the latter collapsed, clients would lose their money and deposits. How do you respond to this?

Dawood Rawat: I don’t know Roshi Bhadain personally. I don’t understand his statements. Maybe he’s clever, and I’m the fool. What I do know is that we always honoured our payments.

But after BAI resumed operations, the opposite happened. Who sold Britam shares in Kenya for only 20% of their value?

Do you know how much the hospital is worth today? We had assets that disappeared, cars stolen.

It’s shocking to see that people who present themselves as great leaders allowed such a situation to unfold.

To say it was a Ponzi scheme is a lie.

If that were true, let me tell you this: I sued two major magazines in Paris that called me the ‘Mauritian Madoff’ and labelled me a ‘Ponzi’ operator.

I won both cases. I also filed a lawsuit against a Mauritian newspaper, but unfortunately, its director passed away in the meantime.

I find it absurd that such accusations are still being thrown around.

As for Roshi Bhadain, I understand him: after everything he said about me on television, he must defend himself somehow.

That said, the NTan report clearly mentions a ‘Ponzi-like scheme.’ It’s a real shame for such a company (NTan).

The first eight paragraphs make it clear that they shouldn’t take what’s written seriously, because they didn’t have the time to consult the other party involved.

The report is meant for the eyes of the Central Bank. NTan has been pressured to mention Ponzi. Some people hide behind their lies.

Do you know how it feels when I meet someone who says their husband died because of this?

There are also people who’ve hugged me and told me their children were able to go to school, that they own houses, cars, thanks to BAI.

You know how that makes me feel? There was no communalism with me. Every community had its chance.

Competence was rewarded at BAI. My mistake was trusting people who later turned against me. But that’s a story for another day.

Nawaz Noorbux: Despite your grievances with Lutchmeenaraidoo, Bhadain, and others, what caught my attention was seeing your daughter, Laina Rawat, joining a political platform alongside Roshi Bhadain. It gives the impression she’s trying to exonerate him in the BAI matter. In fact, he even claimed that Laina Rawat said that he had nothing to do with…

Dawood Rawat: You need to think carefully before making such statements. Laina Rawat said that Roshi Bhadain didn’t initiate the collapse of BAI, not that he had nothing to do with it.

That was Vishnu Lutchmeenaraidoo’s doing.

In fact, Roshi Bhadain explained that he acted in this way because he was new to politics and had joined a train that was already in motion.

Nawaz Noorbux: But you’re suing Lutchmeenaraidoo, Bhadain, and Pravind Jugnauth for Rs 100 billion?

Dawood Rawat: Yes, because they used governmental institutions to commit criminal acts. Moreover, those who were reimbursed 40% of their investments in BAI already represent Rs 6.5 billion.

If we take into account the other assets of the group that disappeared, how much are they truly worth?

I’m doing this because I think it’s time for Mauritius to restore honesty, sincerity, and competence. We have lived in fear for far too long.”

For too long, we’ve done things because we’re afraid of certain people, politicians, or banks. We live in a state of fear that has now become a cycle.

People bow down now. To get a job for your children, you have to crawl to a minister’s feet. That needs to stop.

The only way to change this is to teach them a lesson. From now on, anyone who plays games with the public will pay dearly.

They will pay for what they’ve done. Can you put a price on the lives of those who have died?

Nawaz Noorbux: The Rs 100 billion you’re claiming, is it not against the state, but rather against these individuals personally?

Dawood Rawat: Exactly. I’m also suing the auditors who were part of this conspiracy.

Nawaz Noorbux: Let’s talk about the incident when Sattar Hajee Abdoula visited you. There seems to be even a recording. He allegedly told you to sell everything for a rupee. Can you shed some light on what happened and the pressures you were facing at that time?

Dawood Rawat: I was still physically weak at that time.

When I arrived at the hotel, one of my former ‘right-hand men’ told me that he had come with Sattar Hajee Abdoula to make me an offer…He made me understand that I needed to hand over all my foreign assets, and then my family would be safe.

Look at how power passes through the hands, and then comes to me with this offer. You know what that feels like… 50 years of your life?

Nawaz Noorbux: Could we call this “state capture”?

Dawood Rawat: Yes, it’s blackmail and state capture.

They used every state service available. After they got an arrest warrant against me, they sought Interpol to have me flagged and asked France to arrest me. A person at the Élysée told me this.

The Bank of Mauritius and the Financial Intelligence Unit informed all central banks that Dawood Rawat and his children were fraudsters.

All my accounts were frozen— in France, in America, where I had a bank account for 40 years. My name was tarnished.

My French lawyer went to Interpol. They told him to give them three months to investigate.

They then wrote to Interpol Mauritius, who handed over a copy of the charges against me. But Interpol investigated independently and concluded that it was a political vendetta.

I never told Sattar Hajee Abdoula that I agreed. He thought I was consenting to the proposal and spoke to someone:

Boss, he’s agreed, boss, I’ve succeeded.” He told me he was a “great defender of Pravind and would stay with him if he falls.”

I responded that everything had to be documented legally, and I would make my decision after consulting my lawyers.

However, I knew I was going to refuse. And that’s how that visit unfolded.

Nawaz Noorbux: The question now is how to repair the damage. Apart from your legal action against Lutchmeenaraidoo and others, they will argue that this was a collective decision made by the Cabinet. In Mauritius, we don’t have the Economic Offenders Act or the Fiscal Responsibility Act, and a government has the full latitude to make decisions within the Cabinet. What can the government do, and what do you recommend to this new regime?

Dawood Rawat: The new regime won the elections with a 60-0. The people have spoken. This is a signal that says, ‘We voted for you for justice and fair play.’ My proposal is simple: return what was taken from me. At least, what remains.

As for what has been sold, that’s another issue. I take full public responsibility for reimbursing the Rs 6.5 billion to those waiting for their payments.

How? Once my companies are returned to me, I will give them 40% of the shares in these businesses.

We will work together. These people are suffering. The government faces many challenges. I am willing to help in my own way.

Nawaz Noorbux: Which companies are you referring to?

Dawood Rawat: MauBank, National Insurance Company, ‘my hospital’, and the remaining buildings.

Nawaz Noorbux: Wasn’t Apollo Bramwell Hospital also sold?

Dawood Rawat: They bought the business, but not the building. The government still owns the walls. I’m asking for those walls to be returned to me.

Nawaz Noorbux: At least Rs 20 billion of public funds were reinvested to save these companies. Now you are asking the government to return them to you. Will there still be financial implications for public funds?

Dawood Rawat: No. I don’t intend to ask the government for money if my companies are returned intact. Unless, of course, they return them with debts that I didn’t incur. I will need to scrutinise the accounts carefully.

If the companies are returned as they were, then I expect to get Iframac and Courts back as well. If the previous government sold them off, that’s a different matter.

Nawaz Noorbux: Have you discussed this proposal with Navin Ramgoolam?

Dawood Rawat: It’s difficult to reveal private conversations. The meeting was positive. The Prime Minister told me that his ‘assistants’ would handle the matter, but due to time constraints, it hasn’t been done yet. I understand— they have so many problems in government to resolve.

Nawaz Noorbux: Considering the state of the economy as outlined in The State of the Economy report and the geopolitical situation, what do you think the prospects are for a small country like Mauritius?

Dawood Rawat: I’ve understood why Mauritius is still stuck in the past. We have a significant lack of capital to revive the economy.

The major capital is controlled by two distinct groups: a political group via quasi-governmental companies (State Bank, SICOM, STC)—it’s almost like a private sector within the government—and another group from the sugar oligarchy, which, despite the decline of sugar, still holds substantial capital.

We produce shopping malls, not exactly the kind of products that will revitalise the economy.

Small entrepreneurs remain small, and mid-sized groups can’t break through to the next level due to a lack of capital.

We need to attract large-scale capital to elevate the country. Mauritius must be oriented towards the future, with competent people leading vital organisations.

Nawaz Noorbux: Are you interested in launching a business in Mauritius?

Dawood Rawat: Certainly! I have friends abroad who are willing to help. In fact, one of the biggest bankers in India has spoken to me, and he is interested in helping to revive my businesses and assist the country….We have potential in Mauritius, and this potential exists across all communities.

Nawaz Noorbux: On a personal level, how do you plan to recover your life and move forward?

Dawood Rawat: It’s difficult to reclaim this life at 81. But I think about the future of my children and grandchildren, and that of everyone I know.

I’ve learned who my true friends are. I’ve made many mistakes in friendship. At BAI, we lived like a family, with one idea in mind: how to help others prosper.

Certainly, my family needs to heal. Our clients too.

Nawaz Noorbux: Do you think you can forgive those who have caused you this trauma?

Dawood Rawat: I am a devout person. Only God has the power to decide each person’s fate. Justice will do its work for those I am suing. I bear no personal grudges, nor do I have a desire for vengeance against anyone.

Source: Defi Media