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U.S. Investigates Telecoms Over $400M Fraud Claims

11/17/2025

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Summary

Story summary

U.S. prosecutors are investigating telecom firms after BlackRock's HPS Investment Partners reported lending over $400 million backed by potentially fake receivables.
The Department of Justice is examining connections to Bankim Brahmbhatt, whose companies have borrowed heavily from HPS since 2020.
HPS accused Brahmbhatt of "extraordinarily brazen and widespread fraud," claiming the documents verifying the receivables were fabricated.
The U.S. Attorney's Office for the Eastern District of New York is leading the probe amid rising concerns about the stability of the private credit market.

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Story summary

U.S. prosecutors are investigating telecom firms after BlackRock's HPS Investment Partners reported lending over $400 million backed by potentially fake receivables.
The Department of Justice is examining connections to Bankim Brahmbhatt, whose companies have borrowed heavily from HPS since 2020.
HPS accused Brahmbhatt of "extraordinarily brazen and widespread fraud," claiming the documents verifying the receivables were fabricated.
The U.S. Attorney's Office for the Eastern District of New York is leading the probe amid rising concerns about the stability of the private credit market.