NEW DELLHI: The Directorate of Enforcement (ED) has arrested Ravi Shankar Tiwari alias Ravi Tiwari under the provisions of the Prevention of Money Laundering Act (PMLA) in connection with the ongoing investigation into the Loni Urban Multi State Credit and Thrift Cooperative Society (LUCC) case, an official statement said on Thursday.
Tiwari was arrested on Wednesday, July 14, and produced before the Court of the Additional Sessions Judge-07 at Patiala House Courts, New Delhi, on Thursday. The court remanded him to ED custody for 10 days.
The ED initiated its investigation based on multiple FIRs registered in Lalitpur, Uttar Pradesh, and Tikamgarh, Madhya Pradesh, against Loni Urban Multi State Credit and Thrift Cooperative Society (LUCC), Lustiness Janhit Credit Cooperative Society Limited (LJCC), and Option One Industries Limited.
According to the agency, these entities allegedly lured members of the public into investing in deposit schemes by promising high returns and subsequently misappropriated the funds. Multiple FIRs have been registered against the companies and their associates in various states across the country.
The case pertains to alleged cheating, criminal breach of trust and misappropriation of investors' money amounting to approximately Rs 10,314 crore.
The fraud is estimated to have affected more than 30.51 lakh investors through the operations of the entities across India, the ED said.
The ED's investigation revealed that Ravi Shankar Tiwari had been associated with the SAGA Group network, headed by Sameer Agrawal, since 2009 and functioned as a senior official within the group.
He also served as a team leader for Advantage Tradecom India Private Limited, Option One Industries Limited, LUCC and other SAGA Group entities, and allegedly assisted Agrawal, who is currently based abroad, in operating LUCC and LJCC.
Statements recorded under Section 50 of the PMLA reportedly indicated Tiwari's involvement in the alleged offences and his role in the operations of various SAGA Group entities.
The ED said its investigation further revealed that Tiwari and his family members received substantial deposits from SAGA Group entities through multiple bank accounts, for which he failed to provide a satisfactory explanation.
The probe also found that Tiwari had interests in several entities that were allegedly used for the receipt, routing and withdrawal of proceeds of crime. He is also accused of acquiring multiple residential and commercial properties in his own name and in the names of his family members using the proceeds of crime.
The ED said it had earlier attached several immovable properties in connection with the case.
Further investigation is underway.
--IANS
