New Delhi [India], January 20 (ANI): The Enforcement Directorate (ED) arrested a fraudster in Chennai on Thursday in a money laundering case connected with fraud committed through powerbank and other such mobile applications.
The accused, identified as Anas Ahmad was arrested under the Prevention of Money laundering Act (PMLA), 2002.
Ahmed is in judicial custody and lodged in Puzhal Central Prison, Chennai, in the predicate offence booked by CID, Chennai. The Principal City Civil and Sessions and Special Judge for PMLA cases, Bengaluru has granted six days of custody of Ahmed to ED on Thursday for enquiring into the fraud committed.
The federal agency initiated money laundering investigation into the operations of accused entities that induced the public to invest a certain amount through Powerbank and other such fraudulent apps by assuring to remit interest on a daily or weekly basis on the investment made, said the ED.
"The accused entities closed their purported business after collecting huge sum of money from gullible Public and went incommunicado. The accused entities neither paid interest nor returned the principal amount to the public and withheld the investment made by the public which has resulted in the commission of cheating," said the agency.
ED said Ahmed is a partner in two accused firms namely H and S Ventures Inc and Clifford Ventures.
"These two partnership firms are responsible for collection of approximately Rs 84 crore from public. Anas Ahmed has Chinese links and is suspected of being the mastermind of the whole racket," ED said.
Ahmed indulged in corrupt and illegal activities through his partnership firms by deviating from the declared line of business and activity of gaming and has collected money from the public under the guise of investment schemes through fraudulent apps.
The proceeds generated through criminal activities have been layered through a number of shell entities to remit out of Indiaalso invest in cryptocurrencies, the ED said. (ANI)