Two held in ₹1,417-cr. investment fraud case
The Enforcement Directorate has arrested two individuals linked to a ₹1,417-crore investment fraud involving Unique Exports. The scheme allegedly misled thousands of investors with promises of high returns from agricultural exports that never materialized.
Why it matters
This case underscores the prevalence of large-scale financial scams in India and the ongoing efforts by regulatory bodies to curb money laundering.
The Enforcement Directorate (ED) has arrested two men in connection with an alleged ₹1,417.86-crore investment fraud involving Unique Exports and its associated entities, which reportedly mobilised funds from 35,759 investors.
S. Naveen Kumar, 38, of Erode, and S. Muthuselvam, an ex-serviceman from Ramanathapuram, were arrested on September 29 under Section 19 of the Prevention of Money Laundering Act.
The ED launched the probe based on an FIR registered by District Crime Branch, Erode, under various provisions of the IPC and the Tamil Nadu Protection of Interests of Depositors (in Financial Establishments) Act. According to the ED, Naveen Kumar started Unique Exports and East Valley Agro Farms in 2017 and allegedly masterminded investment schemes operated under the names UNI, FNP, FAP, and UNR.
Investors were allegedly promised high returns from exports of agricultural commodities, though the firms did not undertake substantial exports.
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