ED arrests COO of Capital Protection Force in Rs 792 Cr fraud case

HYDERABAD(Telangana): The Enforcement Directorate (ED) on Tuesday arrested Aryan Singh, Chief Operating Officer of M/s Capital Protection Force Pvt. Ltd., in connection with a massive Rs. 792 crore fraud linked to the company’s “Falcon Invoice Discounting Scheme.”

Acting under the provisions of the Prevention of Money Laundering Act (PMLA), 2002. The arrest is part of an ongoing investigation into M/s Capital Protection Force Pvt. Ltd., Amardeep Kumar, and others, the agency said on Wednesday.

Aryan Singh was produced before the Special PMLA Court on Wednesday, and the Court has remanded him to 14 days’ judicial custody.

ED initiated an investigation based on three FIRs registered by the Economic Offence Wing, Cyberabad, wherein it was alleged that Amardeep Kumar, Capital Protection Force Pvt. Ltd. & others fraudulently cheated gullible investors on the pretext of high returns on their investments.

ED investigation revealed that M/s Capital Protection Force Pvt. Ltd., in the name and style of ‘Falcon invoice discounting scheme’, lured investors on the pretext of providing funds for invoice discounting in exchange for promising returns based on the invoices discounted, but failed to repay their invested amounts. Amardeep Kumar was the mastermind behind the scam and he developed Falcon invoice app in order to receive deposits from the investors.

The ED investigation revealed that, in reality, no business of invoice discounting was carried out, and the accused cheated investors to the tune of approximately Rs. 792 crore.

According to ED, investigation revealed that Aryan Singh, in his capacity as Chief Operating Officer of M/s Capital Protection Force Pvt. Ltd., was actively managing the operations of the fraudulent “Falcon Invoice Discounting” scheme in collusion with the mastermind Amardeep Kumar. Though Singh had complete knowledge of the fact that there was no genuine business activity, he lured unsuspecting investors into the scheme.

Aryan Singh managed a team of employees who not only promoted the fraudulent business but also interacted with investors to gain their confidence.

He also assisted Amardeep Kumar in diverting the invested funds and personally benefitted by receiving Proceeds of Crime amounting to Rs. 2.88 Crore in his five personal bank accounts as well as the bank account of his entity ‘Karaoi (OPC).

ED had earlier seized a Hawker 800 A aircraft in the case; attached movable and immovable properties worth Rs. 18.14 Crore and arrested Sandeep Kumar (brother of main accused Amardeep Kumar) & Shard Chandra Toshniwal, Chartered Accountant.

Further investigation is in progress. (ANI)