Business Today
Loading...

ED arrests three promoters of Agri Gold Group in connection to Rs 6,380 Ponzi scam

According to the investigations by the ED based on FIRs lodged in Andhra Pradesh, Telangana, and Karnataka, Avva Venkata Rama Rao is touted as the perpetrator of the scam, executing it through Agri Gold Group of companies

twitter-logoBusinessToday.In | December 23, 2020 | Updated 16:36 IST
ED arrests three promoters of Agri Gold Group in connection to Rs 6,380 Ponzi scam

The Enforcement Directorate (ED) has identified three people in connection to the Ponzi scam involving Agri Gold Group of companies, ED officials said. Avva Venkata Rama Rao, Avva Venkata Seshu Narayana Rao and Avva Hema Sundara Vara Prasad have been produced before the ED court in Hyderabad in the scam amounting to Rs 6380 crore.

As of now, the three of them have been granted 14 days of judicial custody. According to the investigations by the ED based on FIRs lodged in Andhra Pradesh, Telangana, and Karnataka, Avva Venkata Rama Rao is touted as the perpetrator of the scam, executing it through Agri Gold Group of companies. Rama Rao's name has previously been linked to the Golden Forest CIS Fraud scheme as well.

"Having learnt the tricks of the trade in that scheme, Avva Venkata Rama Rao hatched a well planned conspiracy and along with his seven brothers and other associates setting up more than 150 companies and started collecting deposits from general public with a promise of providing developed plots, farm lands or withdrawal at a high rate of return on maturity," said the ED.

According to the agency, commission agents in thousands were party to the scam in that they were luring people into various schemes for hefty commissions in return, clocking Rs 6,380 crore from 32,02,628 investor accounts in consequence. "In the end, the gullible investors neither got plots nor could recover their deposits," an official informed.

Also Read: Reliance Industries to set up 'world's largest zoo' in Gujarat

Also Read: SpiceJet to resume seaplane flight services in Gujarat from Dec 27

  • Print
  • COMMENT
BT-Story-Page-B.gif
A    A   A
close