Mumbai: Diamond Trader Arrested in ₹1.56 Crore Fraud Case; Manhunt for Brother

The BKC police have arrested a diamond trader, Chirag Viradia, for allegedly misappropriating diamonds worth ₹1.56 crore and cheating two other traders. His brother, Yogesh Viradia, has also been named as an accused in the case, and the police have launched a search operation to trace him. Investigations have revealed that the Viradia brothers had defrauded multiple diamond traders by taking diamonds on credit worth several crores and failing to make payments. The police believe that Chirag’s arrest may lead to further revelations in similar fraud cases.

Pritesh Shah, a diamond trader residing in Girgaon, runs a company named Maruti Gems, where he has business partners. The company's office is located at Bharat Diamond Bourse in BKC, Bandra, where all financial transactions are conducted. Shah’s business associate, Maheshbhai Parmar, owns a company named Rajesh Exports, also engaged in the diamond trade.

A few months ago, their acquaintance, diamond broker Dinesh Sawani, introduced them to Chirag and Yogesh Viradia, who operated a company named Shree Gems. The Viradia brothers claimed to be brokers in the diamond trade and assured Shah and Parmar that they had a reputed client interested in purchasing diamonds. Gaining their trust, they convinced them to provide diamonds on credit, promising payment upon completion of the deal.

Between February 17 and 19, 2025, Shah and Parmar supplied them with 420 carats of diamonds worth ₹1.56 crore on credit. The Viradia brothers assured them that the payment would be made within four days.

Escape After Fraudulent Sale

However, the payment never materialized, nor were the diamonds returned. When the traders repeatedly inquired, the Viradia brothers kept making excuses and avoided communication. Investigations revealed that they had already sold the diamonds and misappropriated the funds. Soon after, they switched off their mobile phones and absconded.

Further inquiries exposed that the Viradia brothers had taken diamonds on credit from several traders, collectively worth crores, without making payments or returning the goods. Realizing they had been duped, Pritesh Shah lodged a complaint with the BKC police against the accused.

Police Investigation and Arrest

After verifying the complaint, the police registered a case of fraud against Chirag and Yogesh Viradia. The investigation revealed that both accused resided in Upper Govind Nagar, Malad, but had fled after the scam. A special operation was launched to track them down, leading to Chirag’s arrest on Saturday.

During interrogation, Chirag confessed to defrauding Shah, Parmar, and several other traders. His brother, Yogesh, is still on the run, and the police are actively searching for him.