New Delhi, Sep 6 (IANS) The Delhi Police on Friday claimed to have arrested a 37 year-old man who had allegedly cheated more than 500 citizens to the tune of crores with the inducement of investment in various ponzi schemes, the police said on Friday.
The accused has been identified as Sanjeev Kumar, a resident Ghaziabad who was arrested by the Economic Offense Wing (EOW) of Delhi Police on September 6.
According to the Additional Commissioner of Police (CP) EOW, O.P. Mishra, a complaint regarding cheating through ponzi schemes was received against the accused and a case under section 406/420/120B of Indian Penal IPC and 4/5 PCMC Act was registered at EOW police station and the accused was arrested.
“The accused along with other co-accused had induced the public at large to invest in their different Ponzi Schemes and usurped the money obtained from the investors. The initial investigation was started on the basis of complaints filed by few victims,” Mishra said.
The preliminary interrogation of the accused revealed that he has cheated approximately more than 500 victims under various schemes involving crores of rupees, the police said.
“The modus operandi of the accused was that he firstly started ‘committee’ business wherein several peoples have invested. The investment was returned as per commitments and, thereafter, goodwill trust and faith developed between the accused and the victims,” Mishra said.
“After developing trust, he opened business of prize chit and money circulations wherein schemes have been launched projecting lucrative benefits to investors,” he added.
Police said that the accused started a scheme to lure increasing numbers of members. asking each member to contribute Rs 5,000. After contributing for five months, a lucky draw was opened in the sixth month wherein the lucky draw winner was gifted with either a Nano car or Rs 1.2 lakh cash.
After that, a draw would open every month and members would get cash prizes of Rs 50,000, 60,000, 70,000, 80,000 and 90,000.
“He started another scheme of 500 members, wherein each member has to contribute Rs 2,000. In this scheme, a lucky draw was opened every month where the winner was gifted with Rs 50,000 cash.
“Also every month, 10 motivational draws were opened and each member was gifted Rs 2,000 each,” Mishra said.
“The accused was produced in court on Friday and has been remanded to three days police custody. Further investigation is in progress,” he added.