INDIA: The Directorate of Enforcement (ED) has taken a significant step in the ongoing investigation of the Rs 4000 crore Saradha Chit Fund scam by filing a second supplementary prosecution complaint. This complaint targets eight individuals allegedly involved in the Saradha Group and others under the Prevention of Money Laundering Act, 2002.
The complaint was submitted before the Special PMLA Court in Kolkata last week, as stated by the ED on Tuesday. The accused named in the complaint, including Rajat Kumar Majumder, Debendranath Biswas, Debabrata Sarkar, Sandhir Agarwal, Sajjan Agarwal, and Naresh Balodia, are believed to have acquired the proceeds of crime and concealed them as untainted assets.
Among the accused are individuals holding various positions, such as ex-DGP of Armed police, an executive committee member of a prominent club, and legal professionals.
The Saradha Group, a conglomerate comprising more than 239 private companies, operated chit-fund activities across Eastern India, raising approximately Rs 4,000 crore from 1.7 million investors. This was done without proper authorization from regulatory bodies like the Securities and Exchange Board of India (SEBI). The chit fund eventually collapsed in April 2013, revealing alleged mismanagement and misuse of funds by Sudipto Sen, the founder of the group.
Investigations have shown that the Saradha Group diverted funds collected from the public for personal gain, leading to defaults on investor repayments.
The ED has taken action in this case by issuing nine attachment orders, temporarily seizing assets valued at over Rs. 380 Crore. Additionally, prosecution complaints have been filed against a total of 26 accused individuals.
Numerous individuals have been implicated in the scam, with both the ED and CBI investigating the matter. While some have been released on bail, others have faced charges in connection with the scam. The case has also led to a tragic outcome, with numerous agents, depositors, and executives who lost their life savings taking their own lives.
