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Conman held in Delhi for duping homemakers of at least ₹2 crore
Police said a woman associate of the arrested man, identified as Manish Singh, is still on the run. They added that Singh was on the run for nearly three years and was arrested by the EOW team
A gang that duped nearly 100 homemakers from Rohini of at least ₹2 crore through multi-level marketing Ponzi schemes was busted with the arrest of one of its members by the Economic Offences Wing (EOW) of Delhi Police, senior police officers said on Thursday.
They said a woman associate of the arrested man, identified as Manish Singh, is still on the run. They added that Singh was on the run for nearly three years and was arrested by the EOW team with the help of a courier company.
“The gang induced homemakers to mortgage their jewellery and take loans for investing in various multi-level marketing (MLM) schemes against high returns. We registered a case based on a complaint by 39 homemakers who lost nearly ₹2 crore. Several other ‘investors’ did not file their complaints because their families were unaware of the investments. Singh’s interrogation may lead us to identify other victims and ascertain the total amount they defrauded the women of,” said Chhaya Sharma, joint commissioner of police (EOW).
The EOW officials said that one of the complainants, Promila Jain, alleged that Singh, his partner Baby Jain, and others tricked her into investing money in their schemes. Initially, Promila Jain was paid the interest for a few months. Through word of mouth, many other women also invested in the Ponzi schemes. After the scamsters accumulated money from over 100 investors, they switched off their mobile phones, changed their addresses and went on the run, said the joint CP.
“They were running several schemes under different fake companies such as Social Trade Web Work, EPC Wallet, Orange Group, Sampark Food Bazaar and Click ‘O’ Click. The investors were induced through the distribution of pamphlets, kitty parties, and other get-together events. Most of these companies have now vanished from the market,” she added.
Police said that the investigating team raided several hideouts of Singh and his accomplices, but could not catch them. Investigators kept a watch on his old house. Recently, they got a tip-off that a parcel was to be delivered at that address by a courier company.
“We took the courier company in confidence and during the telephonic conversation with the beneficiary, it refused to deliver the parcel at any other address. It compelled the suspect to visit his old address to collect the parcel. Our team caught him as he arrived to get the parcel from the delivery person,” the joint CP said.
Originally from Bihar’s Siwan district, Singh had come to Delhi after graduation in 1996 to prepare for the civil services exam. He could not clear the exam despite three attempts. Singh started a coaching centre but failed. Thereafter, he joined a company dealing in multi-level marketing and learnt the tricks of cheating investors. Singh and his associates floated several companies to run Ponzi schemes in 2016.
