ED Seizes Rs 1.02 Crores and Documents in Kalpataru Ponzi Scheme Case

By A Staff Reporter

Lucknow: In a significant breakthrough, the Enforcement Directorate (ED) has seized unexplained cash amounting to ₹1.02 crores, sale deeds, and documents related to 88 immovable properties, along with digital and electronic evidence linked to a Ponzi scheme floated by the Kalpataru Group of Companies.

The seizure followed a comprehensive search operation conducted by the ED’s Lucknow Zone team on December 18 at 16 locations, including Agra, Mathura, and Noida in Uttar Pradesh. The operation targeted premises associated with Mithilesh Singh, wife of the late Jai Kishan Rana, the main accused in the case, as well as his close associates, chartered accountants, brokers, and agents.

The individuals named in the investigation include Suman Prabha Sharma, Devender Garg, Harendra Tarkar, Ramveer Tarkar, Prakhar Garg, Shivam Agrawal, and others. The ED stated that the evidence points to the large-scale financial irregularities and fraudulent practices carried out under the guise of a multi-level marketing (MLM) scheme.

The Kalpataru Group is accused of duping investors by promising high returns in a fraudulent investment scheme. The recovered documents indicate the existence of hundreds of properties, further exposing the extensive operations of the group.

The ED’s action is part of its broader effort to crack down on financial fraud and money laundering in the country. The agency has vowed to continue its investigation to unearth the full extent of the scam and recover assets acquired through illicit means.

The Ponzi scheme case highlights the vulnerabilities of unsuspecting investors and raises questions about regulatory oversight. As the ED proceeds with its probe, more details are expected to emerge about the scale and impact of the fraudulent operations.