ED raids Pune, Nashik, Kolhapur in connection with Rs 100 crore Ponzi scam by Dubai-based businessman

The Directorate of Enforcement (ED) Mumbai has conducted search operations in Pune, Nashik, and Kolhapur, targeting businessman Vinod Tukaram Khute, his family, and associates in connection with an alleged Rs 100 crore ponzi scam and illegal forex trading schemes operated from Dubai.

In a press release issued on Friday, the ED stated that the raids resulted in the seizure and freezing of cash, bank funds, fixed deposits, and jewellery amounting to Rs 5 crore, along with various incriminating documents and digital devices.

The FIR lodged against Khute and others in October 2023 alleges a criminal conspiracy to lure investors with promises of high returns, utilizing schemes such as a ponzi scheme and forex trading. The accused are suspected of closing down operations and transferring amassed funds abroad through hawala transactions.

The ED investigation revealed Vinod Khute as the alleged mastermind, with his platforms like VIPS Group of Companies, Global Affiliate Business, Real Gold Capital, and others implicated in the scam. The search operations uncovered a network of distributors involved in enticing the public into investing in bogus/illicit schemes.

The press release further detailed the complex web of transactions used to siphon funds into Dubai, involving shell entities, crypto/virtual assets conversion, and hawala channels. Previous search operations had resulted in provisional attachment orders seizing assets amounting to Rs 70.86 crore.

Investigations are ongoing as ED continues to unravel the intricate layers of the alleged scam and track down the absconding mastermind, Vinod Khute, suspected to be residing in Dubai.