CBI FILES A CHARGESHEET AGAINST AN ADVOCATE AND OTHERS IN AN ON-GOING INVESTIGATION OF A PONZI SCHEMES SCAM CASE


Press Release
New Delhi, 11.01.2019

The Central Bureau of Investigation has today filed a chargesheet against an advocate; a proprietor of Saradha Group of Companies and a private company in the Competent Court at Barasat, Kolkata in a ponzi schemes scam case related to Saradha group of companies.

CBI had registered the case and took over the investigation of Saradha & other chit fund cases on the orders dated 09.05.2014 of Hon’ble Supreme Court of India. The chargesheet against the advocate has been filed on the allegations of taking Rs. 1.4 crore from Saradha group of companies during year 2010-12 and also entering into a criminal conspiracy with the proprietor of Saradha group of companies and other accused persons for the offences of cheating & misappropriation of funds of Saradha group of companies. These funds were illegally collected by the said group of companies deceiving lakh of gullible investors of West Bengal, Odisha and North-Eastern States by launching different investment schemes under the garb of sale of product & services and by promising very lucrative returns in violation of the provisions of regulatory statutes. The group of companies had illegally raised funds to the tune of Rs. 2,500 crore (approx.) and the accused persons had failed to repay the investors to the tune of Rs. 1,900 crore. During the year 2013, the proprietor and other co-accused persons shut down their offices and absconded before they were arrested. It was further alleged that while the main promoter/director of said group of companies was operating such investment schemes illegally, many regulators and enforcement agencies including SEBI, ROC, Economic Offences Investigation Cell (West Bengal) etc. had initiated certain enquiries against the illegal business of said group of companies during the year 2010. It was also alleged that upon contacting the said advocate through another accused (a private person), the proprietor was proactively helped by the advocate to manage the said enquiries so that illegal collection of funds from general public continued by these companies all through year 2010 to 2013. In lieu of the same, the advocate received around Rs. 1.4 crore from the proprietor through his group companies during the year 2010-2012. The accused also allegedly prodded the proprietor to enter into a dubious agreement with the said private person and as a result thereof the private person also could misappropriate crore of rupees originally invested by the general public in the Saradha group of companies.

Further investigation on the aspect of larger conspiracy is continuing.

The public is reminded that the above findings are based on the investigation done by CBI and evidence collected by it. Under the Indian Law, the accused are presumed to be innocent till their guilt is finally established after a fair trial.

********