Hyderabad scam alert: Rs 125 crore taken from public; ED says fake firms, cash tricks used

HYDERABAD: The Enforcement Directorate (ED) has filed a prosecution complaint unravelling a 125 crore money laundering scam tied to the infamous Sun Pariwar schemes. The ED probe has identified Methuku Ravinder, the principal accused, as the mastermind behind a complex network of fund diversion, benami entities, and fraudulent multi-level marketing (MLM) schemes.According to the ED, 158 crore was collected from 14,000 investors on the pretext of offering high returns. Of this, 125 crore was identified as proceeds of crime under the Prevention of Money Laundering Act. The funds were mostly collected in cash at the Sangareddy office of Sun Pariwar and later handed over to Ravinder or his wife, D Premalatha.Investors' money was also routed through accounts of associates like Sri Chakra Estates, a proprietary firm run by one Narra Kondal Reddy.

The firm alone received over 27 crore from the public despite having no links to any investment scheme. Kondal Reddy admitted, in his statement, that the account was used at Ravinder's behest and that the money belonged to the public. The ED alleged that a portion, 53 lakh, was diverted by Kondal Reddy into his own personal account.

Fake returns, cash dealsThe ED's investigation revealed that Ravinder and his close associates were actively involved in promoting schemes that promised to double investments within 20 to 30 months.

Thousands of agents were engaged and promised commission as high as 8% to lure more investors. In some cases, plots were registered temporarily in the names of investors as "security", only to be taken back later.Cash was routinely deposited into the accounts of individuals unconnected to Sun Pariwar companies. For example, the ICICI Bank account of Premalatha received 1.56 crore in cash deposits, and Ravinder admitted to controlling the account.

The diverted funds were used to buy immovable properties far above the declared value. One such plot in Shamirpet, officially registered for 16 lakh, was actually purchased for 1.25 crore, paid in cash, according to an unregistered agreement found at Ravinder's residence.Following raids in Sept 2023, Ravinder's wife Premalatha transferred a valuable land parcel near Celebrity Resorts to a known associate, K Subhash Goud, in what the ED describes as a sham transaction to avoid confiscation.New ventures, same scamAccording to the ED, after securing bail in earlier cases, Ravinder had launched new ventures, including Pudami Infra Projects (India) Ltd., Divine Infra Developers, and Pudami Agro Farm Lands. Though fronted by associates, Ravinder retained control and ownership. These firms launched fresh schemes promising high returns and used old scam money, layered through associates' accounts, as seed capital.Benami transactions continued. In one instance, 40 lakh cash and cheques were issued to buy land in Gajwel through intermediaries. The funds originated from Pudami and were funneled via Ch Ramchander, an associate who managed all financial transactions on Ravinder's instructions, the ED alleged.