NEW DELHI: The Enforcement Directorate (ED) has arrested Chander Bhushan Singh and his wife, Priyanka, Directors of M/s Maxizone Touch Pvt. Ltd., in connection with a massive Rs 307-crore multi-level marketing (MLM) scam, the agency said on Wednesday. The arrests were made on December 16 by the ED’s Ranchi Zonal Office under the Prevention of Money Laundering Act (PMLA), 2002, following an extensive probe into the alleged misappropriation of public funds .
According to investigators, the accused orchestrated a fraudulent MLM scheme that promised unusually high monthly returns and lucrative referral incentives to lure unsuspecting investors. Using this model, the company allegedly collected unauthorised deposits exceeding Rs 307 crore through at least 21 bank accounts, generating substantial proceeds of crime.
“Through this modus operandi, they collected unauthorised deposits amounting to over Rs. 307 Crore across at least 21 bank accounts, thereby generating massive Proceeds of Crime (POC),” the ED said in its press note.
The ED said the directors subsequently absconded with the funds and evaded law enforcement agencies for nearly three years.
They are accused of dodging police action across Jharkhand, Rajasthan, Assam and other states, while laundering illicit proceeds through benami real estate transactions and large-scale cash conversions.
“To conceal their identities and evade arrest, the offenders were found to be using fake identity documents, including a pseudo name ‘Deepak Singh’, and frequently changing their locations,” it said.
The money laundering probe was initiated on the basis of multiple FIRs registered by police in Jharkhand, Bihar, Uttar Pradesh, Rajasthan and Karnataka for cheating and fraud against the company and its directors. As part of the investigation, the ED conducted searches on September 16 and December 3 at several locations in Delhi, Noida, Ghaziabad, Vaishali (Bihar), Meerut, Ranchi and Dehradun under Section 17 of the PMLA.
During these operations, the agency seized fake identity cards, handwritten diaries detailing financial transactions, cash exceeding Rs 10 lakh, cheque books, and digital devices, including laptops and mobile phones.
Investigators also recovered cryptocurrency holdings worth USDT 15,000 and documents related to multiple real estate properties.
The accused have been remanded to five days of ED custody by the Special PMLA Court in Ranchi.
Further investigation into the money trail and beneficiary network is underway.
Disclaimer : This story is auto aggregated by a computer programme and has not been created or edited by DOWNTHENEWS. Publisher: ZEE News
