Bhandari was the man behind the attempt to frame senior Opposition leaders following Harshad Mehta's 'disclosure' that he had paid money to P.V. Narasimha Rao. In a reply of l'affaire St Kitts, he tried to get hold of forged affidavits implicating senior politicians and showing that they had received money from Harshad Mehta. He used the service of one Randhir Jain, whom he gave a letter of introduction describing him as an "eminent lawyer and a friend of some years". When the scandal blew in his face, he tried to wriggle out of it. In his alleged memoir, he practically disowns Jain!