ED raids Kerala group that ‘cheated’ investors; freezes deposits of Rs 80L, cash – ThePrint – PTFeed

New Delhi, Oct 22 (PTI) Assets worth around Rs 80 lakh were frozen and seized after raids were conducted against a Kerala-based group that had allegedly duped investors by luring them into a monthly investment scheme called ‘Apollo Gold,” the Enforcement Directorate said Tuesday.

The searches were conducted on October 17 at 11 locations in Calicut, Malappuram and Thiruvananthapuram at the residential and office premises of “key persons” of the Apollo and Samana group of companies, a statement said.

The scheme stipulated that for every deposit of Rs 1 lakh, the saver would receive a monthly dividend of Rs 1,000 and would receive a refund of the invested amount on maturity after 12 months.

Investors who continued or extended their deposit after twelve months were eligible for profit sharing from Apollo Jewelery. Initially, the group kept their promise; However, after 2020, they have “neither paid the dividend amount nor returned the deposited amount to the depositors,” the ED alleged.

Charaparambil “absconded” after “defaulting” on payments to depositors/investors, the report said.

Apollo Jewelery Group has listed “substantial” amounts of unsecured loans from various investors in their audited balance sheets without paying any interest to them, which the ED said raises doubts over the authenticity of the names appearing in the financials.

The total number of unsecured loans, paid-up share capital and investments through debentures received from various investors by the Apollo Jewelery group of companies, which are defunct as on date, is approximately Rs 82.90 crore.

Charaparambil and other directors of various companies/firms in the Apollo group appear to have a substantial stake/stake in the Samana group and they have ‘diverted’ the funds raised in the Apollo group by building hotels like Hotel Dimora in Kozhikode and Thiruvananthapuram. The hotels are registered under the names of Apollo Shopping Mall LLP and Trivandrum Apollo Builders Pvt., the company said.

The searches led to the seizure of “incriminating” documents, electronic devices and documents from both Dimora hotels, the report said.

Under the PMLA, four orders were issued to freeze bank deposits of Rs 52.34 lakh (account maintained by Hotel Dimora Kozhikode), apart from Rs 27.49 lakh in cash, the ED said. PTI NES ZMN

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