Major Crackdown on Gold Investment Scam
The Enforcement Directorate (ED) has made significant progress in its investigation into the Aarudhra gold investment scam, seizing substantial assets during coordinated raids across multiple cities. In a major operation conducted on Wednesday, the agency recovered Rs 22 lakh in cash and property documents worth over Rs 1.50 crore from individuals connected to the fraudulent scheme.
Multi-City Raids Uncover Elaborate Fraud
The ED conducted simultaneous searches at 21 locations across Chennai, Kancheepuram, Mumbai and Kolkata, uncovering an elaborate network designed to deceive investors. During the operation, investigators discovered that the fraudsters had appointed dummy individuals as directors of Aarudhra Gold Trading Pvt Ltd (AGTPL). These individuals, who typically performed menial jobs within the company, were used as front persons to hide the real beneficiaries of the scam.
The agency successfully recovered numerous incriminating documents and digital evidence related to investments, property acquisitions, and sophisticated fund layering techniques used to conceal the illicit money trail.
Massive Financial Transactions Revealed
Under the Prevention of Money Laundering Act (PMLA) investigation, the ED analyzed multiple bank accounts belonging to AGTPL and associated entities, revealing staggering financial activity. The probe uncovered total credits and debits of approximately Rs 2,000 crore flowing through these accounts.
In an official statement released on Thursday, the ED disclosed: "There were around 1,230 high-value debit transactions exceeding Rs 10 lakh each, totalling about Rs 1,060 crore. Our scrutiny indicates that most of these transactions represent circular movement of funds within multiple bank accounts of AGTPL, apart from the diversion of public deposits for personal and non-business purposes."
The investigation also recovered statements from several individuals who conducted high-value transactions with AGTPL, providing further evidence of systematic fund diversion.
How the Scam Operated
The ED initiated its investigation based on a First Information Report (FIR) registered by the Economic Offences Wing (EOW) in Chennai against AGTPL and other involved parties. The company had lured investors by promising exorbitant monthly returns of 10% to 30%, along with attractive incentives including:
- Regular monthly payouts
- Gold coins as bonuses
- Referral commissions of 2% up to Rs 5 lakh on deposits
Using these tempting offers, the company collected massive deposits from the public, ultimately cheating depositors of an estimated Rs 2,430 crore.
Accused Still at Large
The principal accused in the case, V Rajasekhar, along with his wife, continues to remain absconding despite extensive efforts to locate them. Meanwhile, the EOW has filed a charge sheet against 40 accused individuals for their involvement in the massive cheating operation that affected numerous depositors across the country.
The ongoing investigation continues to uncover new evidence as authorities work to bring all responsible parties to justice and recover the stolen funds for the victims of this elaborate investment fraud.
