ED has already attached POC (Proceeds of Crime, assets acquired from tainted money) to the tune of Rs12.54 Cr
FinTech BizNews Service
Mumbai, September 14, 2024: Directorate of Enforcement (ED), Jaipur Zonal Office has arrested Mahmud Khan, the mastermind in the case relating to fake call centers in different parts of India for defrauding foreign nationals (USA citizens) in the guise of loans at cheaper rate of interest. The accused was absconding and was not cooperating with the investigation even after repeated summonses and a Look Out Circular (LOC) issued by ED, being in force. However, after persistent efforts by this Directorate, the mastermind and key person, Mahmud Khan was arrested on 10.09.2024 and has been granted to ED custody for 03 days by Hon’ble Special Court (PMLA), Jaipur, as per the press release issued by the ED.
ED initiated investigation on the basis of FIRs registered by Rajasthan Police, ATS and SOG, Jaipur under various sections of IPC, 1860 and Information Technology (Amended) Act, 2008. ED investigation revealed that there was a well-planned conspiracy by the accused persons to defraud foreign nationals by opening virtual call centres and bank accounts in USA which were being operated from Jaipur, Mohali, and other parts of India. Investigation revealed that Proceeds of Crime (POC) of Rs. 55 Crore (approx.) were generated and were routed through various Indian and foreign bank accounts opened in the name of accused persons and others and shell companies registered by them. Such POC generated was further being invested in the properties in order to project them as untainted and genuine.
It is important to highlight that the ED has already attached POC (assets acquired from tainted money) to the tune of Rs12.54 Crore. Mahmud Khan played a central role in orchestrating the fraudulent scheme. His role was central in coordinating call centers in India, setting up fake companies, and managing the flow of illicit funds across borders. He also oversaw the use of VoIP technology, recruited tele-callers, and established bank accounts to launder the proceeds and in general provided stability and security to the entire operation His involvement in every aspect of the operation marks him as one of the masterminds behind the money laundering scheme.
This was the fifth arrest in the case. Earlier, ED, Jaipur had arrested 04 accused persons namely Rafiq Khan, Shahnawaz Ahmed Jeelani, Vipin Kumar Sharma & Viraj Singh Kuntal in this case and two prosecution complaints have already been filed in the instant matter. Hon’ble Special Court has also taken cognizance of the complaints vide orders dated 02.03.2024 and 06.08.2024. Further investigation is under progress.
