ED Files Supplementary Chargesheet in Rs 564 Crore Ritz Ponzi Scheme
The Enforcement Directorate (ED) has escalated its crackdown on the massive Ritz Consultancy Ponzi scheme by filing a supplementary chargesheet against 18 additional accused individuals. The agency alleges that this network of directors and intermediaries systematically exploited investors and diverted funds for personal gain.
Massive Financial Fraud Uncovered
According to the detailed chargesheet, the fraudulent investment scheme involved a staggering 2,015 investors who collectively contributed Rs 1,146.25 crore. While approximately Rs 581.91 crore was distributed back as returns to maintain the illusion of legitimacy, a massive Rs 564.34 crore remains completely untraced, representing direct losses to investors.
The ED investigation reveals that the accused orchestrated a sophisticated financial fraud under the leadership of chartered accountant Amber Dalal. Despite knowing that Dalal lacked mandatory SEBI and RBI registrations, the network of directors allegedly conspired with him to lure investors with promises of risk-free monthly returns ranging from 1.5% to 1.8% through supposed commodity trading.
Systematic Money Laundering Operations
Special Judge RB Rote, while issuing summons to all the accused, noted that prima facie sufficient material exists to indicate active involvement in money laundering activities. The judge specifically stated that the accused were "actively involved in the offence of money laundering, being directly or indirectly involved in activities connected with the proceeds of crime".
Instead of investing the funds in arbitrage opportunities as promised to investors, the money was allegedly siphoned off as brokerage and commissions. The ED has documented how these funds were systematically routed through personal and family accounts to disguise them as legitimate income.
Pattern of Using Family Accounts
The investigation has uncovered a recurring pattern where family members' accounts were used to conceal the illicit flow of funds. Specific examples cited in the chargesheet include:
- Vijay Bhatia and Shikha Vijay Bhatia of Maxroi Consultancy allegedly siphoned Rs 20.47 crore through this method
- Accused Rushabh Shah allegedly routed commissions exceeding Rs 3.91 crore through personal, proprietary and family-held accounts
- Ashit Shah is accused of channeling Rs 1.67 crore through similar account structures
- Rambha Mitra, described as a close associate of Dalal, allegedly received Rs 47.99 crore, using portions for personal expenses and losses in private trading accounts
Background of the Case
The case originated from an FIR registered by Oshiwara police in March 2024, which alleged that Amber Dalal cheated investors through Ritz Consultancy Services. Initially, returns were paid to investors to build credibility, but payments allegedly stopped later, triggering investigations.
The Economic Offences Wing subsequently took over the probe, and Dalal was arrested by police before being taken into ED custody in the money-laundering case. The supplementary chargesheet names directors linked to firms including VRPM Investment Private Limited and Maxroi Consultancy, expanding the scope of the investigation significantly.
The ED continues to investigate the complete money trail and identify all individuals involved in what appears to be one of the most substantial Ponzi schemes uncovered in recent financial fraud cases.
