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ED raids its ex officer in Rs 600 cr ponzi scam case

Press Trust of India  |  New Delhi/Chandigarh 

The ED today searched the premises of its ex-and others in connection with the probe in a Rs 600 crore alleged ponzi scam case.

The ED officials said the house of its former Gurnam Singh, Puneet Shrma and an another person in Chandigarh and Mohali are being raided since morning, under provisions of the Prevention of the Act (PMLA).

Singh has been the investigating of the said ponzi case and was relieved from the central probe agency by the (ED) headquarter in last year in January.

Officials claimed that the ex-of the ED's Chandigarh zone was allegedly taking bribes, to the tune of about 4-6 crore, in purported connivance with Sharma in this case.

The raids have been launched to gather more evidence in this context, they said.

ED had issued stern directives in the agency that instances of corruption in the organisation will be prosecuted even if it is their own staffers.

The agency had conducted multiple searches in this case last year and it had also arrested the absconding agent of the alleged chit fund firm under scanner-- Kamal K Bakshi-- under the anti-law.

The case, the ED had said, pertains to thousands of investors who were "systematically lured and cheated to the tune of more than Rs 600 crore by floating ponzi or pyramid schemes assuring exorbitant returns".

It had said that the alleged "mastermind" of the scheme is a Malaysian identified as who floated two firms -- Ms Unipay 2U Marketing Private Limited and Unigateway2U -- in

Describing the modus operandi of the alleged cheating in this case, the agency said the early investors of the ponzi schemes floated by the firm were paid exorbitant returns in order to win over their confidence.

"When thousands of people across the country invested crores of rupees in the said ponzi schemes, the companies stopped the payouts or monthly returns (since October, 2010) and gradually siphoned off crores of rupees of investors," it had said.

"The company manipulated by using a web of and layering of money through a plethora of such accounts," the ED alleged.

The agency had registered a criminal FIR in the case, based on an earlier complaint of other central investigative agencies.

(This story has not been edited by Business Standard staff and is auto-generated from a syndicated feed.)

First Published: Thu, March 22 2018. 14:15 IST