The Enforcement Directorate (ED) has filed a Supplementary Prosecution Complaint (PC) in the AgriGold Group of companies case against M/s Agri Gold Exims Limited and related entities. During the course of investigation, properties worth ₹4,141.33 crore were attached.
The prosecution complaint was filed before the Special Court in Nampally, and the court took cognisance of the same on Wednesday.
The other related entities were listed as M/s Amruthavarshini Dairy Farms Private Limited, M/s Avvas Infotech Private Limited, M/s Mathaangi Infra Ventures Private Limited, M/s Shakti Timber Estates Private Limited, Avva Sita Rama Rao, Avva Venkata Subrahmanyeswara Sarma & M/s Sanctuary Homes Pvt. Ltd.
ED initiated a probe on the basis of several FIRs registered by the police of Andhra Pradesh, Telangana, Karnataka, Odisha and Andaman & Nicobar Islands against Agri Gold group of companies.
These FIRs were registered on the basis of numerous complaints from depositors against the group, which had collected deposits from around 19 lakh customers and 32 lakh account-holders in the name of real estate investment with a promise of high returns or a residential plot.
ED’s investigation revealed that AgriGold Group ran a fraudulent collective investment scheme in the guise of real estate business, for which more than 130 companies were floated.
“These companies collected deposits as ‘advances for plots’ from depositors, without commensurate land being available with the company, without specifying the plot number, survey number and location of the land and also by reserving rights to offer plots in any other venture if plots in the offered venture are not available. It was further advertised that in case the customer is not interested in buying plots offered by AgriGold Group, full money would be refunded with some bonus,” an official statement said.
By adhering to this business module, the group led by Avva Venkata Rama Rao and other directors lured lakhs of gullible people and got deposits from them. These funds were thereafter diverted to various industries like power/energy, dairy, entertainment, health (ayurvedic), farm land ventures etc. without the knowledge of the depositors and the companies defaulted in returning the deposits either in cash or in kind, as agreed upon. Thousands of commission agents were engaged by AgriGold group to lure people and they managed to collect ₹6,380 crore from more than 32 lakh investor accounts.
Further, Avva Venkata Rama Rao, Avva Venkata Seshu Narayana Rao and Avva Hema Sundara Vara Prasad were arrested in December 2020. Prosecution Complaint against 14 accused persons/entities including Avva Venkata Rama Rao, Avva Venkata Seshu Narayana Rao, Avva Hema Sundara Vara Prasad, M/s Agrigold Farm Estates India Pvt. Ltd. and Agri Gold Constructions Pvt. Ltd. was earlier filed before the Special Court (PMLA), Hyderabad in February 2021 and cognisance of the same was taken on September 28, 2023.
Published – November 08, 2024 03:03 am IST