Chennai, Nov 27 The Directorate of Enforcement (ED) has intensified its probe into one of Tamil Nadu’s largest investment frauds, conducting search operations across four cities in connection with the multi-crore scam involving Aarudhra Gold Trading Pvt. Ltd. (AGTPL).
Acting under the Prevention of Money Laundering Act (PMLA), 2002, the ED’s Chennai Zonal Office, in a statement, said that it carried out coordinated raids on Thursday at 21 locations spread across Chennai, Kancheepuram, Mumbai and Kolkata.
The investigation is based on an FIR filed by the Economic Offences Wing (EOW), Chennai, which had earlier charged AGTPL and its Directors under provisions of the IPC, the Banning of Unregulated Deposit Schemes Act, 2019, and the RBI Act, 1934.
According to the EOW, the company attracted thousands of depositors by promising extraordinary monthly returns of 10 per cent to 30 per cent, along with additional incentives such as gold coins, monthly payouts and referral commissions of up to 2 per cent on investments of up to Rs 5 lakh.
The alleged scam is massive in scale. Police records indicate that 1,04,433 depositors have come forward so far, claiming losses of around Rs 2,438 crore as of June 2023. The default amount has been quantified at Rs 1,404 crore.
Despite multiple summons and ongoing investigation, the principal accused, V. Rajasekhar, along with his wife, continues to remain absconding.
As part of the money-laundering probe, the ED examined several bank accounts linked to AGTPL and associated entities.
The analysis revealed total financial movements of about Rs 2,000 crore, including 1,230 high-value debit transactions above Rs 10 lakh each, amounting to nearly Rs 1,060 crore.
Officials suspect most of these transactions to be part of a complex web of circular fund movements between multiple accounts to disguise the origin and utilisation of illicit deposits.
Evidence also points to large-scale diversion of investor funds for personal and non-business use. Statements from individuals who carried out significant financial dealings with the company have shed more light on the diversion and layering of funds.
During the searches, investigators found that several persons listed as AGTPL Directors were merely dummy Directors, holding menial jobs and having no actual involvement in the company’s functioning.
The ED seized incriminating documents, digital records related to investment schemes, details of property holdings and fund flows.
Cash amounting to Rs 22 lakh was recovered, along with property documents valued at over Rs 1.5 crore. The agency said that further investigation is underway to trace additional assets, track fund flows and identify the full network of individuals involved in the large-scale Ponzi operation.
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