Bombay HC raps police for lax investigation in Torres jewellery scam

Court directs the Commissioner of Police, Mumbai to grant chartered account Abhishek Gupta police protection

MUMBAI: The Bombay high court on Wednesday pulled up the Economic Offences Wing (EOW) of Mumbai police for being unable to trace the Ukrainian nationals who are among the prime accused in the Torres jewellery scam despite taking charge of the case more than a week ago.

According to the First Information Report (FIR) in the case, the Torres jewellery chain operated six stores across Mumbai and defrauded nearly 1.25 lakh people. (Hindustan Times)

“We expected the EOW to act promptly and trace the whereabouts of the absconding Ukrainian nationals. This is your prerogative. Where you don’t do your part, we come in. We expect promptness. This is a specialised agency,” the bench of justices Revati Mohite-Dere and Neela Gokhale said while hearing a petition filed by chartered account Abhishek Gupta.

Gupta was an external auditor for Platinum Hern Pvt Ltd, Torres’ parent company, and claims to be a whistleblower in the case. Responding to his petition, the court directed the Commissioner of Police, Mumbai to grant him police protection till his application for the same was processed.

According to the First Information Report (FIR) in the case, the Torres jewellery chain operated six stores across Mumbai and defrauded nearly 1.25 lakh people by luring them with 6% weekly returns on investments in lab-grown American diamonds. Initial investigation by the police indicated the company operated without a valid license from the Reserve Bank of India (RBI) and was involved in money-laundering activities including the purchase of benami properties.

On January 8, the case was transferred to the EOW, which subsequently informed the court that 11 foreign nationals—mostly Ukrainians—were still wanted in the case.

On Wednesday, the two-judge bench asked the investigating officer who was present in court, “Why haven’t you apprehended them? What steps have you taken? Can’t you put the passport number through the immigration system (to check if they have exited)?”

The EOW officer merely replied that notices had been issued to the 11 accused persons, to prevent them from leaving the country.

“What is the use of issuing notice when they might have left (the country)? If you have issued LOC what is the next step,” the court asked. “Have you seized the camera footage of the office and showrooms? Have you seized the footage of the hotels where the accused persons lived? We cannot be expected to monitor investigations like this,” it said.

Public prosecutor Prajakta Shinde told the court was told police had seized footage from Torres’ showrooms and office.

Advocate Ranjit Sangle, appearing for Abhishek Gupta, told the court that Gupta had alerted officials at Yes Bank and Kotak Bank about the alleged fraud by the jewellery chain and was instrumental in helping police freeze around ₹17 crore in its bank accounts.

He also claimed Sarvesh Surve, Taufiq Riyaz (alias John Carter), and Laxmi Yadav had warned various authorities about the alleged scam using Gupta’s e-mail id way back in June 2024, although the police took cognisance of the matter only on January 2.

All three are among the accused in the case. While Surve and Yadav were arrested after EOW took over the case, Riyaz is still at large.

Sangle further told the court that Gupta apprehended a threat to his life. He was receiving death threats on Telegram and his photos were being circulated in Tilak Nagar, falsely identifying him as a wanted accused in the case, he told the court, seeking police protection for his client.

Public prosecutor Shinde subsequently told the court that the police were waiting for information from various police stations in Mumbai and Navi Mumbai before deciding on his application.

The court then directed the commissioner of police, Mumbai to grant him police protection till his application was processed. The court has also summoned the assistant commissioner of police on January 22, the next date of hearing, and directed officers from the Shivaji Park, APMC (Navi Mumbai) and Navghar police stations to remain present at the hearing.