Hyderabad Central Crime Station Takes Over Direct Selling Fraud Cases
The Central Crime Station (CCS) in Hyderabad has officially re-registered two significant cheating cases that were originally filed at the Punjagutta police station. These cases specifically target representatives associated with Vihaan Direct Selling (India), a company now under intense scrutiny for alleged fraudulent investment schemes. The Economic Offences Wing of the CCS is now leading the investigation, marking a serious escalation in law enforcement efforts against financial crimes in the region.
First Case: Professional Lured with False Promises
In the initial complaint, Sowmya Kulkarni, a 27-year-old company secretary residing in Kacheguda, detailed how she was deceived into investing a substantial sum of Rs 2.5 lakh. According to her statement to the authorities, her professional acquaintance, Manisha Jawale, aggressively promoted Vihaan Direct Selling as a legitimate partner with well-known electronics and water purifier brands. Jawale allegedly guaranteed high commissions on product sales, creating an illusion of a lucrative business opportunity.
Kulkarni transferred the money online on February 26, 2021, and subsequently received a distributor ID. However, instead of the promised business setup, she was provided only with books and video links during a month-long training program conducted by Rahul Maleni and Vipin Bung. Both individuals are reportedly facing separate cases in the Cyberabad jurisdiction, adding to the credibility concerns surrounding this operation.
"When I demanded a refund, the accused asked me to recruit fresh investors to get a refund," Kulkarni revealed in her police complaint, highlighting the manipulative tactics employed. This case, initially registered at the Punjagutta police station in 2021, was formally re-registered by CCS investigators on February 24. The charges include Sections 406 (criminal breach of trust) and 420 (cheating) of the Indian Penal Code, along with Sections 3 and 4 of the Prize Chits and Money Circulation Schemes (Banning) Act, indicating the severity of the alleged offenses.
Second Case: Private Employee Duped in Multi-Level Marketing Scheme
The second victim, Romala Sumalatha, a 30-year-old private employee from Bagh Amberpet, accused her acquaintance Koppala Govind Rao of convincing her to invest Rs 3.5 lakh in QNet. Vihaan Direct Selling is identified as a sub-franchisee of QNet in this scheme. The investments were made between March and August 2022, with Rao promising consistent monthly returns that never materialized.
Sumalatha realized she had been defrauded when no payouts were issued despite repeated assurances. Based on her formal complaint, the Punjagutta police registered a cheating case in 2023. This case has also been transferred to the CCS and re-registered on February 24 under Sections 406 and 420 of the IPC, focusing on the criminal breach of trust and cheating aspects.
Police Response and Ongoing Investigation
A senior police official confirmed that both cases have been transferred to the Economic Offences Wing of the CCS for a comprehensive and specialized investigation. "The cases have been transferred to the Economic Offences Wing of the CCS," the official stated, emphasizing the department's commitment to tackling such financial frauds rigorously. The re-registration of these cases underscores the growing concern over direct selling and multi-level marketing schemes that exploit unsuspecting investors with false promises of high returns.
Authorities are urging the public to exercise extreme caution when approached with investment opportunities that seem too good to be true, particularly those involving direct selling companies. Victims are encouraged to come forward and report similar incidents to help prevent further financial losses and hold perpetrators accountable under the law.
