ED arrest Bengal-based Ponzi firm director Biswapriya Giri in Rs 200 Cr fraud case

Kolkata, Aug 23 (FN Bureau) The Enforcement Directorate (ED) has arrested Biswapriya Giri, promoter and director of URO Group of companies, in a case allegedly related to Ponzi (chit fund) companies, the probe agency said on Wednesday. “(The) ED initiated investigation under Prevention of Money Laundering Act (PMLA), 2002 on the basis of First Information Report registered by CBI, Ranchi on 13.09.2017 under various sections of IPC, 1860 against Biswapriya Giri and others for cheating, criminal breach of trust, forgery and criminal conspiracy to the account of group companies and others. “ED investigation revealed that the URO Group of companies collected more than Rs 200 crore from the gullible investors with the promise of giving higher returns through a network of agents,” the agency said. The Group projected being involved in various businesses such as agro industry, lifecare, hotel and resorts, infotech, automotive, real estate, etc. Subsequently, it defaulted on repayment of maturity amount, and diverted the collected fund for personal gain and to various other beneficiaries.

A search operation was carried out by ED at three locations on August 18 and the next day (2023) and evidence related to collection of funds from investors and diversion of funds was recovered and seized. “ED investigation revealed that the proceeds of crime have been used for acquisition of movable and immovable assets by the promoters and associates, and a substantial amount of funds was also diverted for promotional and advertisements activities in order to promote this illegal business and to prevent adverse media reports,” claimed the central agency. Accused Biswapriya Giri was arrested on August 20 and on the same day, he was produced before special PMLA court in Kolkata, which granted ED custody till September one.