The Directorate of Enforcement (ED), Cochin, has taken Venugopal S, proprietor of M/s Kechery Enterprises, from the custody of Kerala Police, Punalur, for investigation into the offence of Money Laundering in connection with the collection of illegal deposits from the public amounting to Rs. 240 Crore and subsequently defrauding them by failing to repay the amounts collected from the public.
The investigation conducted by the ED to date has revealed that the accused person, while accepting deposits from the general public, assured them of high returns ranging from 15% to 18% per annum and further assured them that M/s Kechery Enterprises had the recognition of RBI and that the investments were secure and that the depositors had the option to withdraw the investments at any time and that his business entity had received all approvals from the state and central government.
Over 1000 people were eventually defrauded in the scam in and around Kerala’s southern regions, and over 500 FIRs were filed against the offenders.
The accused person was given four days’ detention by the Hon’ble Special Court, PMLA. Further investigation is underway to track down the proceeds of the crime as well as other recipients who supported him in the scheme.
