New Delhi, July 24 The Enforcement Directorate (ED) recently conducted search operations on the premises of Samajwadi party's Uttar Pradesh Secretary Dinesh Kumar Singh in a money laundering case linked with Bike Bot Scam, an official said here on Monday.
During investigation, incriminating evidence against him were seized from the searched premises.
The probe agency initiated PMLA investigation on an FIR based on complaints by the investors of Bike Bot against fraud committed by Garvit Innovative Promoters Ltd. (GIPL), Sanjay Bhati and other persons.
Investigations revealed that in 2017, the accused Sanjay Bhati and others floated lucrative investment scheme in the name of BIKEBOT.
As per the scheme, a customer could invest in 1,3,5 or 7 bike(s) which would be maintained and operated by the company and the investors would be paid monthly rental, EMI and bonus (in case of investment in multiple bike).
The ED investigation further revealed that funds so collected were rotated in a fashion akin to a PONZI scheme and were ultimately used in creation of assets in the name of the company and other persons.
"ED investigation revealed that Dinesh Singh Gujjar used his network to locate beneficiaries of the proceeds of crime generated through Bike Bot Scam and by flouting his relations with the ED officials, cast pressure or enticement on his victims to extract money which directly or indirectly was a part of the proceeds of crime," the ED said.
Gujjar is presently in ED's custody till July 27.
Further investigation into the matter is on.
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